Reflecting an improvement in the economic activity, the registration of new companies scaled a new peak in April 2025 to reach 23,776, the latest data from ministry of corporate affairs (MCA) showed. This is the second consecutive month of record number of companies coming into being after March 2025 witnessed 21,157 company registrations.
The number of active companies too jumped 9.8% in April 2025 to reach the highest level of over 1.87 million. The active companies now represent 65% of all the registered companies as on April 2025.
“A total of 23,776 companies were registered with a collective paid-up capital of Rs 1,380.7 crore. Private limited companies account for 96% of the total companies with 39% of the total paid-up capital. In comparison, public limited companies are smaller in number (4%) but comprise 61% of the total paid-up capital,” the MCA bulletin said.
In terms of economic activity, the companies engaged in the community, personal & social services (27%) dominated the new registrations followed by trading (17%), manufacturing and business services (15%) each. Overall, the companies engaged in the services sector represent two-thirds (66%) of all active companies in the country, the MCA data showed.
However, the registration of limited liability partnerships (LLPs) continued to outpace the registration of companies over the past one year. In April 2025, for instance, the total number of LLPs stood at 394,818, which was 19.2% higher than the registered LLPs in April 2024 (331,150). In comparison, the number of total registered companies grew at just 7.4% in the corresponding period.
Experts said that the surge in LLP registrations over the past few years is due to their lower compliance burden as compared to companies. Though the government has been trying to introduce stricter norms for LLPs. In November last year, the National Financial Reporting Authority (NFRA) recommended a bunch of auditing standards for the LLPs that will make them more accountable and increase transparency.
Broadly, the service sector accounted for maximum LLP registrations with 74% share followed by industry and agriculture sectors accounting for 24% and 2%, respectively.
The MCA data also showed that a total of 54,236 Director Identification Numbers (DIN) were registered in April 2025, and a close analysis on directors revealed that 42% of new directors registered belonged to the 31-45 age group while just 7% of the new directors were older than 60 years.