Producer Company Incorporation (FPO Registration) – An Overview
Producer company registration is forming a producer company under the Companies Act of 2013. Producer companies are special types of businesses formed by farmers and other agricultural producers to help them market and sell their products more effectively. They have limited liability for their members, which means that the members are not personally responsible for the debts and liabilities of the company.
Benefits of FPO Registration
There are many benefits to registering a Farmer Producer Organization (FPO), including:
Limited liability for members
Members of an FPO are not personally liable for the debts and liabilities of the organisation. This means that their personal assets are protected if the FPO goes bankrupt.
Access to government subsidies and grants
FPOs are eligible for various government subsidies and grants, which can help them finance their operations and grow their business.
Easier access to credit from banks and financial institutions
Banks and financial institutions are more likely to lend money to FPOs than to individual farmers, as FPOs are seen as being more creditworthy. FPOs have a larger pool of assets and members and can negotiate better interest rates.
Increased bargaining power with buyers
FPOs can negotiate better prices for their produce with buyers because they can sell in bulk. This can lead to higher profits for FPO members.
Improved efficiency and productivity
FPOs can help farmers improve their efficiency and productivity by providing access to better inputs, technology, and training.
Better access to markets
FPOs can help farmers to reach new markets and sell their produce at a higher price
FPO Registration Process Through Khata Dekho
Khata Dekho can help you to complete the FPO registration online in just 4 easy steps:
Talk to Experts
Begin by consulting with experts from Khata Dekho to understand the FPO registration process, its requirements, and the benefits of forming an FPO.
Produce Documents
Our team will gather and prepare the necessary documents for the registration process. These documents may include the FPO’s proposed bylaws, details of its members, and other legal documentation.
Our Experts Will File Application
Once the documents are ready, our experts at Khata Dekho will guide you through the process of filing for incorporation. This involves submitting the required paperwork to the appropriate government authorities.
Get Your Company Registered
After submission, the government authorities will review your application. If everything is in order and complies with the relevant regulations, your FPO registration will be approved. Upon approval, you will receive a Certificate of Incorporation, which officially recognises your FPO as a legal entity.
Documents Required for Producer Company Registration
The following documents are required for producer company registration in India:
- PAN card of all members and directors
- Aadhaar card of all members and directors
- Passport-size photographs of all members and directors
- Registered office address proof (such as electricity bill, gas bill, or rent agreement)
- Memorandum of Association (MoA)
- Articles of Association (AoA)
- Digital Signature Certificates (DSCs) of all directors
- No Objection Certificate (NOC) from the landlord of the registered office premises (if applicable)
- Copy of the Producer Certificate issued by the District Horticulture Officer (DHO) or any other competent authority (if applicable)
- Copy of the registration certificate of the producer organisation (if applicable)
Eligibility Criteria for Registering of Farmer Producer Company Online in India
To register a producer company online in India, you must meet the following eligibility criteria:
Minimum number of members
There must be at least 10 producer individuals or at least 2 producer institutions as members.
Minimum number of directors
There must be at least 5 directors.
Minimum capital
The company must have a minimum capital of Rs. 5 lakhs.
Name of the company
The company’s name must end with the words ‘Producer Limited Company’.
Registered office
The company must have a registered office address in India.
