MCA has introduced a major change in incorporation process by introducing Spice form ie Form Inc-32 for incorporating Companies. Form INC-32 deals with a single form for the reservation of name, incorporation of a new company or for allotment of DIN.
It helps in incorporating companies quickly by integrating many steps into a single step. Using Spice form, following companies can be incorporated in –
1. One Person Company
2. Private Company
3. Public Company
4. Section 8 Company
5. Producer Company
Form Inc-32 is similar to form Inc-29 in many respects but the mca has withdrawn form inc-29 from the form list and now only form Inc-32 is available for incorporating a company or we can use earlier route i.e. Inc-7/Dir-12/Inc-22. It helps to incorporate a company in a single step and time period for incorporation also get reduced from approx 14 days to 2 days. The e form 32 has another benefit also wherein din gets allotted to those directors who do not have a din number. Similarly pan, tan and ESIC registration can also be obtained easily in one step by filling form INC-32.
The major benefit of form Inc-32 is that we can also use the form after getting the name approved by using form INC-1. Previously in form Inc-29 there is no such provision, therefore there was a chance of resubmission leading to delay in process of incorporation and also increased cost for incorporation.
A new feature has also been introduced in E form 32. Now e-MOA (Electronic MOA) and e-AOA (Electronic AOA) has been prescribed by mca. E-MOA has to be filled in e form Inc-33 and E-AOAhas to be filed in e form no.Inc-34. This is the first time facility provided by the ministry to prepare MOA and AOA in electronic mode.
Using spice form has some disadvantages also such as that it can only be used where maximum number of subscriber does not exceed seven. We can only propose 1 name if incorporation is done through spice form. It is a bit costlier process as dsc of all the subscribers and all the witness is needed.
Companies have an option to go by route of e form Inc-32 or earlier route Inc-7/dir-12/Inc-22