An Indian Private Limited Company is a hybrid between a partnership firm and a publicly-traded company. A minimum of two people is required to register. In a Private Limited Company, a person can be both a shareholder and a director. The shareholders of a Private Limited Company are shielded from personal liability and other legal ramifications.

For private limited companies (PLCs), each member’s liability is limited to the number of shares he or she holds. After receiving the Certificate of Incorporation, an Indian Private Limited Company can begin operations. The time it takes to incorporate a PLC is about 15 business days.