Private limited company is the most popular type of business entity in India. A Pvt. Ltd. Company is a privately-owned legal entity which is registered under the Companies Act, 2013 with the Ministry of Corporate Affairs (MCA). This type of company is separate from the individual running it. A minimum of two shareholders and two directors are required for the registration of a Private Limited Company wherein the maximum number of Directors can be 15 and the maximum number of shareholders can be 200. However, there is one limitation in a Pvt. Ltd. company, shareholders cannot trade shares publicly.

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