New company registrations surge to highest in 7 years

A total of 16,487 companies were registered in July 2020 -- the highest in more than seven years -- as compared to 10,699 in July 2019. A 50.51% increase in the registration of companies witnessed in July 2020 over the previous month.

The companies were registered with collective authorised capital of Rs 2293.61 crore. Of them, 16,417 companies were registered as Companies Limited by Shares, with authorised capital of Rs 2293.07 crore.

The classification of companies registered during July 2020 reveals the predominant share of companies is in business services (29%) followed by manufacturing (23%), trading (14%), community, personal and social services (12%) and construction (6%).

During July 2020, 2,687 (16.30%) companies were registered in Maharashtra, followed by 1,806 (10.95%) in Uttar Pradesh, and 1,757 (10.66%) in Delhi.

The total number of companies registered in the country as on July 31, 2020, stood at 2,031,106. Of them, 746,814 were closed, 2,242 were assigned dormant status as per the Companies Act, 2013; 6,715 were under liquidation; and 42,568 were in the process of being struck-off. There were 1,232,767active companies as on July 31, 2020.

Out of the 1,232,767 active companies, 1,224,856 were limited by shares; 7,605 were limited by guarantee and 306 were unlimited companies. Out of the companies limited by shares, 64,257 were public, 1,130,512 were private, including 30,087 one person companies. Among the public limited companies, 6,797 were listed.