New Company Incorporations vs. Closures (2000–2025)
The table below shows the number of new companies registered each year and the number of companies closed (dissolved/struck off) in that year. From 2000 to around 2005, new incorporations were on the order of only a few tens of thousands per year. Registrations then accelerated, reaching about 64,834 new companies in 2008–09 and 67,814 in 2009–10. After a slight dip around 2013–2015 (about 64,395 new companies in 2014–15), the pace picked up sharply. By 2016–17 new registrations were nearly 97,840, and this climbed to 108,075 in 2017–18 and 123,938 in 2018–19. Despite a minor dip in 2019–20 (122,721 new companies), new incorporations hit an all-time high in 2020–21 with 155,377 new companies registered. The momentum continued into 2021–22, which saw ~167,000 new companies (i.e. “nearly 0.17 million”, the highest ever). In 2022–23, new incorporations remained very high at 165,402 companies.
Meanwhile, the number of companies closed each year remained relatively modest (a few thousand annually) until a major regulatory cleanup in 2017–18. During 2017–18, a massive 236,262 dormant/shell companies were struck off following demonetization, and another 143,233 closures occurred in 2018–19, far above typical levels. In other years, closures have been on the order of only ~10–15k or fewer (for example, 12,808 companies closed in 2016–17 and 14,674 in 2020–21). The net effect is that the total number of companies registered in India has grown dramatically – from on the order of hundreds of thousands in 2000 to over 2.7 million by the end of 2024.
| Year | New Companies Registered | Companies Closed (struck off/dissolved) |
| 2000–01 | ~20,000 (est.) | n/a (few thousand) |
| 2008–09 | 64,834 | n/a |
| 2009–10 | 67,814 | n/a |
| 2014–15 | 64,395 | n/a |
| 2016–17 | 97,840 | 12,808 |
| 2017–18 | 108,075 | 236,262 (shell-company purge) |
| 2018–19 | 123,938 | 143,233 |
| 2019–20 | 122,721 | 70,972 |
| 2020–21 | 155,377 | 14,674 |
| 2021–22 | ~167,000 | ~30,000 (est.) |
| 2022–23 | 165,402 | data not public |
| 2024 | Data TBD (projected record high) | data not yet avail. |
Sources: Ministry of Corporate Affairs (MCA) data reported in Lok Sabha/Rajya Sabha replies and press releases; MCA annual statistics as reported by news outlets (PTI).
Breakdown by Company Type (LLP, Private, Public)
India’s corporate sector has been – and continues to be – dominated by private limited companies. Each year the vast majority (over 95%) of new incorporations are private companies. Public limited companies (which can be listed or unlisted) form only a few percent of new registrations. For example, in 2014–15, out of ~64k new companies, only 66 went for stock-exchange listing (public IPOs). As of the end of 2024, 96% of all active companies in India are private limited companies, with only about 4% public companies. This ratio has remained fairly consistent or even tilted more toward private companies over time.
Another important organizational form is the Limited Liability Partnership (LLP), introduced in 2009. LLP registrations have grown steadily each year, though they are not counted as “companies” under the Companies Act. By December 2024 there were 3,69,324 active LLPs in India. Annual LLP registrations now number in the tens of thousands; for instance, over 6,298 new LLPs were registered in one recent month (a 19% YoY increase). One Person Companies (OPCs), introduced in 2013, remain a niche (only a few thousand OPCs are formed per year – just 2,000 total OPCs existed as of March 2015 out of ~1 million companies at that time). The table below summarizes the composition by company type in recent years:
| As of Dec 31, 2024 | Count | % of Total |
| Active Private Companies | 17,89,506 | 96% |
| Active Public Companies | 70,694 | 4% |
| Active LLPs | 3,69,324 | – (LLPs not under Companies Act) |
| Active OPCs | ~40,000 | <1% of companies |
Note: “Active” excludes companies that have closed or are dormant. In total, India has ~27.9 lakh companies registered as of Dec 2024 (of which ~18.0 lakh are active). Additionally, ~9.5 lakh companies have been closed over the years.
Sources: MCA Annual Report data (via MCA21 registry) as reported in MCA’s Monthly Information Bulletin; Lok Sabha replies.
Sector-wise Nature of Business of Companies
The nature of businesses that Indian companies engage in has shifted towards services over the past two decades. In 2000, a significant share of companies were in manufacturing or trading sectors, but by 2025 the services sector dominates new entrepreneurship. In recent years, business services (e.g. IT, consulting, finance, real estate, etc.) account for the largest chunk of companies, followed by manufacturing. For example, in a recent month (Dec 2022), 26% of new company registrations were in business services, 19% in manufacturing, 14% in community, personal & social services, and 12% in trading. Broadly, about 2/3 of all companies in India are now in service-sector activities, with the remainder in manufacturing/industry or primary sectors.
The table below illustrates the distribution of active companies by broad industry category as of end of 2024, compared to 2000 (approximately):
| Industry Sector | % of Active Companies (2000) | % of Active Companies (2024) |
| Business Services (IT, B2B services) | ~15% (est.) | 27% |
| Manufacturing | ~25% (est.) | 20% |
| Trading (Wholesale/Retail) | ~15% (est.) | 13% |
| Community, Personal & Social Services (education, health, etc.) | ~10% (est.) | 13% |
| Finance & Real Estate (incl. banking, NBFCs, realty) | ~10% (est.) | 11% (combined) |
| Transport & Communications | ~5% (est.) | 4% |
| Primary (Agriculture, Mining, etc.) | ~5% (est.) | 5% (agr. ~4.7%, mining ~0.8%) |
| Other/Unclassified | ~15% (misc. small sectors) | ~7% |
Observations: By 2024, service-oriented sectors clearly lead – for instance, “Business Services” alone comprises about 27% of all active companies. Manufacturing remains significant (20%), but the fastest growth in recent years has been in services (e.g. information technology, financial services, professional services). The MCA notes that the service sector saw the maximum increase in number of companies, followed by industry and then agriculture. This marks a shift from two decades ago, when manufacturing and trading together formed a larger share of companies than# Trends in Company Registrations in India (2000–2025)
New Company Incorporations vs. Closures (2000–2025)
The table below shows the number of new companies registered each year and the number of companies closed (dissolved/struck off) in that year. From 2000 to around 2005, new incorporations were on the order of only a few tens of thousands per year. Registrations then accelerated, reaching about 64,834 new companies in 2008–09 and 67,814 in 2009–10. After a slight dip around 2013–2015 (about 64,395 new companies in 2014–15), the pace picked up sharply. By 2016–17 new registrations were nearly 97,840, and this climbed to 108,075 in 2017–18 and 123,938 in 2018–19. Despite a minor dip in 2019–20 (122,721 new companies), new incorporations hit an all-time high in 2020–21 with 155,377 new companies registered. The momentum continued into 2021–22, which saw ~167,000 new companies (i.e. “nearly 0.17 million”, the highest ever). In 2022–23, new incorporations remained very high at 165,402 companies.
Meanwhile, the number of companies closed each year remained relatively modest (a few thousand annually) until a major regulatory cleanup in 2017–18. During 2017–18, a massive 236,262 dormant/shell companies were struck off following demonetization, and another 143,233 closures occurred in 2018–19, far above typical levels. In other years, closures have been on the order of only ~10–15k or fewer (for example, 12,808 companies closed in 2016–17 and 14,674 in 2020–21). The net effect is that the total number of companies registered in India has grown dramatically – from on the order of hundreds of thousands in 2000 to over 2.7 million by the end of 2024.
| Year | New Companies Registered | Companies Closed (struck off/dissolved) |
| 2000–01 | ~20,000 (est.) | n/a (few thousand) |
| 2008–09 | 64,834 | n/a |
| 2009–10 | 67,814 | n/a |
| 2014–15 | 64,395 | n/a |
| 2016–17 | 97,840 | 12,808 |
| 2017–18 | 108,075 | 236,262 (shell-company purge) |
| 2018–19 | 123,938 | 143,233 |
| 2019–20 | 122,721 | 70,972 |
| 2020–21 | 155,377 | 14,674 |
| 2021–22 | ~167,000 | ~30,000 (est.) |
| 2022–23 | 165,402 | data not public |
| 2024 | Data TBD (projected record high) | data not yet avail. |
Sources: Ministry of Corporate Affairs (MCA) data reported in Lok Sabha/Rajya Sabha replies and press releases; MCA annual statistics as reported by news outlets (PTI).
Breakdown by Company Type (LLP, Private, Public)
India’s corporate sector has been – and continues to be – dominated by private limited companies. Each year the vast majority (over 95%) of new incorporations are private companies. Public limited companies (which can be listed or unlisted) form only a few percent of new registrations. For example, in 2014–15, out of ~64k new companies, only 66 went for stock-exchange listing (public IPOs). As of the end of 2024, 96% of all active companies in India are private limited companies, with only about 4% public companies. This ratio has remained fairly consistent or even tilted more toward private companies over time.
Another important organizational form is the Limited Liability Partnership (LLP), introduced in 2009. LLP registrations have grown steadily each year, though they are not counted as “companies” under the Companies Act. By December 2024 there were 3,69,324 active LLPs in India. Annual LLP registrations now number in the tens of thousands; for instance, over 6,298 new LLPs were registered in one recent month (a 19% YoY increase). One Person Companies (OPCs), introduced in 2013, remain a niche (only a few thousand OPCs are formed per year – just 2,000 total OPCs existed as of March 2015 out of ~1 million companies at that time). The table below summarizes the composition by company type in recent years:
| As of Dec 31, 2024 | Count | % of Total |
| Active Private Companies | 17,89,506 | 96% |
| Active Public Companies | 70,694 | 4% |
| Active LLPs | 3,69,324 | – (LLPs not under Companies Act) |
| Active OPCs | ~40,000 | <1% of companies |
Note: “Active” excludes companies that have closed or are dormant. In total, India has ~27.9 lakh companies registered as of Dec 2024 (of which ~18.0 lakh are active). Additionally, ~9.5 lakh companies have been closed over the years.
Sources: MCA Annual Report data (via MCA21 registry) as reported in MCA’s Monthly Information Bulletin; Lok Sabha replies.
Sector-wise Nature of Business of Companies
The nature of businesses that Indian companies engage in has shifted towards services over the past two decades. In 2000, a significant share of companies were in manufacturing or trading sectors, but by 2025 the services sector dominates new entrepreneurship. In recent years, business services (e.g. IT, consulting, finance, real estate, etc.) account for the largest chunk of companies, followed by manufacturing. For example, in a recent month (Dec 2022), 26% of new company registrations were in business services, 19% in manufacturing, 14% in community, personal & social services, and 12% in trading. Broadly, about 2/3 of all companies in India are now in service-sector activities, with the remainder in manufacturing/industry or primary sectors.
The table below illustrates the distribution of active companies by broad industry category as of end of 2024, compared to 2000 (approximately):
| Industry Sector | % of Active Companies (2000) | % of Active Companies (2024) |
| Business Services (IT, B2B services) | ~15% (est.) | 27% |
| Manufacturing | ~25% (est.) | 20% |
| Trading (Wholesale/Retail) | ~15% (est.) | 13% |
| Community, Personal & Social Services (education, health, etc.) | ~10% (est.) | 13% |
| Finance & Real Estate (incl. banking, NBFCs, realty) | ~10% (est.) | 11% (combined) |
| Transport & Communications | ~5% (est.) | 4% |
| Primary (Agriculture, Mining, etc.) | ~5% (est.) | 5% (agr. ~4.7%, mining ~0.8%) |
| Other/Unclassified | ~15% (misc. small sectors) | ~7% |
Observations: By 2024, service-oriented sectors clearly lead – for instance, “Business Services” alone comprises about 27% of all active companies. Manufacturing remains significant (20%), but the fastest growth in recent years has been in services (e.g. information technology, financial services, professional services). The MCA notes that the service sector saw the maximum increase in number of companies, followed by industry and then agriculture. This marks a shift from two decades ago, when manufacturing and trading together formed a larger share of companies than services. Overall, India’s corporate landscape in 2025 is far more services-driven and formally registered than it was in 2000, with record numbers of new enterprises being formed each year and a much greater emphasis on LLPs/startups in service industries.
