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Private Limited Company

Also called Pvt Ltd and Private Limited

A private limited company: the standard incorporated structure for Indian startups, giving limited liability, the ability to issue shares and ESOPs, and the form investors expect.

Why it matters

For founders building in India, a Pvt Ltd is the default structure for raising money and issuing equity. It is the Indian equivalent of the C-corp in that it is what serious investors and the ecosystem are set up for.

For example

An Indian startup registers as a private limited company so it can issue shares and ESOPs and raise from investors who expect that structure.

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Related terms

Also in Starting Up

See how founders actually handle this on Co-founders, team and legal, part of the Starting Up hub.

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