Capital requirements directly affect both your OCR registration fee and your credibility with banks — here's what's actually required by company type.
Private Limited Company
The practical minimum for a private limited company is NPR 100,000 in authorized capital, though there's no strict statutory floor preventing smaller figures in most ordinary business activities. Regulated sectors (banking, insurance, hydropower) carry their own much higher sector-specific minimums.
Public Limited Company
A public limited company generally needs paid-up capital above NPR 1 crore (10 million), reflecting its ability to raise funds from the public.
How Fees Scale With Capital
OCR registration fees are tiered by authorized capital, starting around NPR 1,000 for the smallest private companies and rising past NPR 43,000 for larger authorized capital brackets. Declaring a higher authorized capital than you need simply to "look bigger" increases your government fee for no operational benefit.
Capital vs. Actual Bank Balance
Authorized capital is a legal ceiling, not cash sitting in your account on day one — you don't need the full amount deposited before registration in most cases, but it should reflect a figure you can realistically call up if the company issues more shares.
Not sure how to size your capital structure? Company Sathi can advise on the right figure for your registration fee bracket and future flexibility.
