How to Register a PCD Pharma Company in India

PCD Pharma business allows Pharma companies to distribute pharmaceutical products under their own branding and rights. It ensures market expansion, profitability, and business growth opportunities efficiently.

In 2023, India's domestic pharmaceutical industry's annual turnover reached around $50 billion. This is one of the reasons, you should become part of Pharma business.

If you want to start PCD Pharma business, first step is to register the PCD pharma company. The PCD Pharma company registration in India includes steps like registering company in Ministry of Corporate Affairs (MCA), obtaining drug licenses, GST etc.

Let’s check out, how you can register a PCD Pharma company in India.

Decide the Type of Business Entity

The first step is to choose the type of your PCD Pharma business. The type of business entity may depend upon the structure and expansion of business you want. For example, if you want full control in your hands, you may go for sole proprietorship firm. In case you want enterprise type of large public company, you can go for public limited. Common ones are below:

• Private Limited Company: A small business owned by few people, shares not sold publicly, and owners have limited risk.
• Public Limited Company: A large company where anyone can buy shares, making it public, and owners have limited risk.
• Limited Liability Partnership: A business where partners share work but aren’t responsible for each other's mistakes, keeping their risk low.
• One Person Company: A business owned by one person, with limited risk, but treated business like a separate entity.
• Sole Proprietorship: If you're alone and want liability by your  side.

Obtain a Digital Signature Certificate (DSC)

Digital Signature Certificate is necessary to sign the documents electronically during the time of registration.

Obtain a Director Identification Number (DIN)

Director Identification Number is basically a unique identification number which is for company directors. This is not applicable in type of companies without directors like sole proprietorship firm.

Choose a Unique Name for Your Company

Your company name should be unique, reflecting your business and up to the Ministry of Corporate Affairs (MCA) guidelines. Choosing unique name also lower the chances if copyright conflicts.

Register Company at the MCA

Complete the company registration process through the MCA portal by submitting the necessary documents, such as:

• Director Identification Numbers (DIN)
• Memorandum of Association (MOA)
• Articles of Association (AOA)

Pay the obligatory registration fees and get your Certificate of Incorporation.

Get the PAN and TAN Numbers

PAN is required for tax identification and financial transactions. It is required to open a business bank account. It helps in filing income tax returns for the company. PAN is mandatory for GST registration and other legal compliances.

TAN is required if the company needs to deduct TDS (Tax Deducted at Source). It is mandatory to make salary payments with TDS deductions. TAN ensures proper tax collection and compliance with government regulations. It is necessary for filing TDS returns and issuing TDS certificates.

Apply for GST Registration

Dealing in inter-state supply or having an annual turnover above ₹40 Lakhs (₹20 Lakhs for special category states) makes GST compulsory.

GST Registration Process

• Go to the GST site gst.gov.in and apply for a new registration.
• Fill in the details, share documents, and submit the application.

Verification and Issuing:

Your application will be evaluated and after receiving acceptance, you will be given a GSTIN (GST Identification Number).

Apply for a Drug License

You need a drug license from either the State Drug Authority or the Central Drugs Standard Control Organization (CDSCO) to sell pharmaceutical products.

Types of Drug Licenses:

• Wholesale Drug License (Form 20B): For the wholesale marketing of drugs to businesses.
• Retail Drug License (Form 19): For selling drugs directly to customers (retail).

Process of Obtaining Drug License:

Materials Need:

• Filled application form, depending on your company style (Form 19 or Form 20B).
• Proof of premises (ownership or rental contract).
• Name and qualifications of a licensed pharmacist.
• GMP Certificate (if you are manufacturing).
• Affidavit to comply with the Drugs and Cosmetics Act of 1940.

Inspection:

A Drug Inspector will come to your property to verify compliance with regulations including storage conditions.

Licensing award:

Your drug license will be given to you after a satisfactory examination. Usually, this license is valid for 5 years.

Obtain FSSAI Registration (If Dealing with Nutraceuticals/Food Products)

You will also have to apply for FSSAI (Food Safety and Standards Authority of India) registration if your PCD Pharma Company involves sales of nutraceuticals or food supplements. You will go through inspections and need to submit necessary documents in the same way as the drug licensing process.

Trademark Registration (Optional, but Recommended)

To keep your brand identity in the market, register a trademark or logo for your company. This will ensure exclusive rights over your brand name and stop others from using it.

Sign Franchise Agreements 

You will have to sign franchise agreements covering distribution regions, marketing assistance, and permissions.

Expert Tips for PCD Business Success in India

The pharma industry is projected to grow to $120-130 billion by 2030 and further to $400-450 billion by 2047. This is best time for success in pharma industry.

Pick a trusted company with quality products like Jantec Pharma.

• Check ISO & WHO Certification: Make pharma product you deal, follows the best quality certifications.
• Get a Legal License: Register your business and get drug licenses.
• Understand Your Market: Know what medicines people need in your area.
• Use Smart Marketing: Advertise well to doctors and medical stores.
• Build Strong Relationships: Work well with distributors and customers.
• Focus on Quality: Sell safe and effective medicines for customer trust.
• Adhere to Regulations: Follow proper taxations and regulations.

Conclusion

To succeed in the PCD Pharma business, choose an WHO-GMP certified company like Jantec Pharma. Follow legal rules, and focus on quality. Good marketing, smart planning, and strong relationships will help you grow.