How to Apply for Company Registration to Bid for Tenders?
10 Jul, 2025
India’s booming IT services sector offers huge opportunities for businesses in software development, cybersecurity, cloud computing, and IT consulting. With rising digital adoption, the demand for skilled IT service providers is at an all-time high. Starting your own IT company can open doors to growth, innovation, and global clients. This blog will help you understand the complete process of how to start your IT service company, from business planning to registration.
If you have ever thought of starting your own IT services company, now is the right time. Here is why to start an IT service company:
1. Booming IT Industry in India
2. Rising Demand for Digital Solutions
In almost every industry, be it healthcare, retail, finance, or education, companies are adopting digital transformation to stay competitive. Businesses need:
As an IT service provider, you can help businesses save time, cut costs, improve efficiency, and protect data, needs that will only grow stronger in the future.
3. Low Initial Investment & High Growth Potential
Starting an IT service company doesn’t always require huge investments in infrastructure or equipment. In many cases, you can begin with:
Many successful IT businesses today began from home or small offices. What truly matters is skills, innovation, and client trust. With time, you can grow into a full-fledged company with higher profits and international clients.
4. Flexibility and Global Reach
5. Government Support & Startup Ecosystem
The Indian government actively supports technology-driven businesses through initiatives like:
There are also several tax benefits, funding schemes, and incubation centres available for tech startups. By registering your business properly, whether as a Private Limited Company, LLP, or Proprietorship, you can access these schemes and build credibility in the market.
6. Endless Innovation Opportunities
The IT industry is constantly evolving. New trends like Artificial Intelligence (AI), Machine Learning (ML), Blockchain, and Internet of Things (IoT) are creating fresh business ideas every day. Starting an IT service company allows you to be part of this exciting innovation journey where you can:
Starting an IT service company can open up a world of opportunities, especially in India’s booming digital economy. Here are the most popular and profitable IT services you can offer to clients:
1. Software Development Services
Software development remains one of the most in-demand IT services. You can offer:
Every business, from startups to corporates, needs software tailored to their needs, making this a high-growth service area.
2. Website Design & Development
With more businesses going online, there is huge demand for:
A well-designed website is essential for any business, making web development services highly profitable.
3. IT Consulting & Support
Many businesses don’t have the in-house expertise to manage their IT systems. As an IT consultant, you can help them:
This service helps build long-term client relationships.
4. Cybersecurity Services
With rising cyber threats, businesses need:
Offering cybersecurity services not only brings steady income but also positions your company as a trusted technology partner.
5. Cloud Services
Cloud computing is booming, and you can offer:
More businesses are shifting to cloud platforms like AWS, Azure, and Google Cloud, creating huge service opportunities.
6. Digital Marketing & SEO
Many IT companies also offer:
With the digital economy expanding, this is a valuable service to help clients grow online.
The following details include the process to start an IT service company:
Step 1: Choose the Right Business Structure
The first and most important step is to choose the legal structure of your IT service company. This affects how your business is run, taxed, and recognised. The most popular options are:
Most IT startups prefer a Private Limited Company or LLP for better credibility, investment opportunities, and government tenders.
Step 2: Register Your Business Name
A professional name that reflects your services can boost brand recognition.
Step 3: Obtain Digital Signature Certificate (DSC)
Since company registration is completely online, you will need a Digital Signature Certificate (DSC) for all directors or partners. DSC is essential for filing forms with the Ministry of Corporate Affairs (MCA). Apply through government-approved agencies like eMudhra, Sify, or nCode.
Step 4: Apply for Director Identification Number (DIN)
Each director of your company must have a Director Identification Number (DIN). This unique number is used to manage director details in the MCA records. The DIN application is submitted along with the company incorporation form.
Step 5: File for Company Incorporation
For a Private Limited Company or LLP, file the SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) form on the MCA website.
Documents needed:
Once approved, you will receive:
Step 6: Apply for PAN & TAN
After incorporation, your company will automatically receive its Permanent Account Number (PAN) and Tax Deduction Account Number (TAN) from the Income Tax Department. Both are essential for opening a bank account and managing taxes.
Step 7: Open a Business Bank Account
With your Certificate of Incorporation, PAN, and address proof, open a current account in the name of your company. This account will be used for all business transactions.
Step 8: Apply for GST Registration (if applicable)
If your company’s annual turnover exceeds ?20 lakhs (?10 lakhs in some states) or if you plan to sell digital products/services across states, you must register for Goods and Services Tax (GST). Apply for GSTIN through the official GST portal.
Step 9: Apply for Udyam Registration (Optional but Recommended)
To avail MSME benefits like:
Apply for Udyam Registration at udyamregistration.gov.in. This is highly beneficial for IT startups.
Step 10: Set Up Your Business Operations
Here are the benefits of registering an IT service company:
1. Builds Trust and Credibility
2. Limited Liability Protection
3. Access to Bank Loans and Funding
A registered IT company is more likely to receive:
Banks and investors prefer to deal with companies that have a clear legal identity and proper documentation. With the rise of Startup India and other digital economy programs, having a registered company can open doors to MSME loans, tax benefits, and even export incentives.
4. Legal Recognition and Protection
Additionally, you can easily:
This makes your business legally powerful and secure.
5. Easier Access to Government Projects and Tenders
Many government departments and public sector units offer tender contracts only to registered companies. With company registration and Udyam Registration (for MSME benefits), you can:
This can help you scale your business faster with prestigious projects.
6. Tax Benefits and Deductions
Registered IT companies are eligible for:
Proper registration ensures that you can save on taxes legally, which can significantly improve your company’s profitability.
7. Better Market Opportunities and Brand Building
A registered IT company can:
With a legal identity, your company name becomes an asset that you can grow and protect, helping you build a professional brand that clients trust.
8. Business Continuity and Easy Transfer
Unlike unregistered businesses, a registered company enjoys continuity, even if ownership changes.
It can:
This makes your business future-ready and more attractive to investors.
9. Attracting Talent and Building a Team
Talented professionals often prefer to work for registered companies because it assures them of job stability, proper employment contracts, and legal salary payments. As your company grows, this becomes a huge advantage in building a strong, reliable team.
Starting your own IT service company is not just about following a trend, as it is about creating real value in today’s digital world. With the right registration, planning, and dedication, you can build a trusted business that attracts clients, investors, and talent. So take the first step, register your company, and turn your tech skills into a thriving business. This blog provided you with detailed information on how to start an IT service company. Contact Online Legal India to get assistance and support in filing an IT company registration with professional experts.