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Sonali Kukreja
Sonali Kukreja

The document discusses the key steps and documents required to form a company in India. It explains that company formation involves promotion, incorporation, capital subscription and obtaining a commencement certificate. The main documents required are the memorandum of association, articles of association, details of initial directors and their consent, and a statement of capital. The memorandum outlines important clauses like the company's name, objectives, capital structure and liability of shareholders. The articles of association contain internal regulations governing company affairs.

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CORE JAVA 29 December 2015 Formation of Company | CONFIDENTIAL 2015 1 FORMATION OF A COMPANY By-Sonali BBA/13/913
COMPANY:- Is an Artificial Person created by Law. Company means an assocoation of many persons who contribute money or money`s worth to a common stock and employed for a common purpose.The common stock so contributed is denote in money and is capital of a company.The person who contribute it or to whom it belongs are members.The proportion of capital to which each member is entitled is his share. Share are always transferable although the right to transfer is often more or less restricted. 29 December 2015 2 Formation of Company | CONFIDENTIAL 2015
FORMATIONOF COMPANY 29 December 2015 3 Formation of Company | CONFIDENTIAL 2015
STEPSINVOVED:- Promotion Incorporation Capital subscription Certificate of commencement. 29 December 2015 4 Formation of Company | CONFIDENTIAL 2015
29 December 2015 5 Formation of Company | CONFIDENTIAL 2015
INTRODUCTION.. It may be noted that before a company is actually formed, certain persons, who wish to form a company, come together with a view to carry on some business. Such persons have to decide various questions a) which business they should start b) They should form a company c) Which type of company they required d) What should be the capital of company. There are various stages in formation of company. 29 December 2015 6 Formation of Company | CONFIDENTIAL 2015
Stages in formation of a company Promotion of a Company :The promotion of a company refers to all those steps which are taken from the time of having an idea of starting a company to the time of actual starting of the company business. Who is a promoter? 1. People who think of forming a company and take necessary steps in its formation are known as Promoters or Company Promoters. 2. The person who conceives such an idea is called Company Promoter. 29 December 2015 7 Formation of Company | CONFIDENTIAL 2015
Functions of promoters: To discover an idea for establishing a company. To make detailed investigations about the demand for the product, availability of power, labor, raw material. To investigate the idea and know whether the formation of the company is possible and profitable. To find out suitable persons who are willing to act as first directors of the company. To settle the name of company. 29 December 2015 8 Formation of Company | CONFIDENTIAL 2015
To submit all the documents required for incorporation with the registrar. To make contracts with vendors, underwriters, and managing directors of the company. To make proper arrangement for the office of the company. 29 December 2015 9 Formation of Company | CONFIDENTIAL 2015
Duties and Obligation of Promoters The promoters must disclose fully all the material facts regarding the formation of a company. The promoters must faithfully disclose all the facts relating to the property which they want to sell to the company. The promoters must not make an unfair use their position. To disclose the liability and pay the secret profits if promoters have earned. The prospectus of the company should contain the true statements. Liability on statutory mistakes or frauds in the property. 29 December 2015 10 Formation of Company | CONFIDENTIAL 2015
29 December 2015 11 Formation of Company | CONFIDENTIAL 2015
DOCUMENTS NEEDED :- MEMORANDUM OF ASSOCIATION ARTICLES OF ASSOCIATION LIST OF THE DIRECTORS CONSENT LETTER FROM DIRECTORS STATEMENT OF CAPITAL 29 December 2015 12 Formation of Company | CONFIDENTIAL 2015
Registration and Incorporation of a Company: The second stage for establishment of a company is to get the company incorporated or registered. The promoters have to prepare and file a number of documents with the registrar. 1-The memorandum of association signed by at least seven persons 2-The articles of association signed by at least seven persons 29 December 2015 13 Formation of Company | CONFIDENTIAL 2015
3-Promoters have to file a prospectus or statement in lieu of prospectus with the registrar. 4-A list of directors and their willingness to act, duly signed by each of them. 5-Notice of address at which the registered office of the company will be situated. All the director whose names are in the list have to submit a declaration certificate that they have taken up qualifying shares and have paid up the money. 29 December 2015 14 Formation of Company | CONFIDENTIAL 2015
Memorandum of Association Memorandum of association is the basic document of a company. It is known as the charter of the company. It sets out limits outside which the company cannot go. To enable the shareholders, creditors and all those who deal with the company. 29 December 2015 15 Formation of Company | CONFIDENTIAL 2015
CLAUSES (CONTENTS) OF MEMORANDUM OF ASSOCIATION 1. Name Clause. 2. Registered Office clause. 3. Objective Clause. 4. Liability Clause. 5. Capital Clause. 6. Association Clause. 29 December 2015 16 Formation of Company | CONFIDENTIAL 2015
NAME CLAUSE:- A company adopts any name but it should not be identical to the name of the existing company. The name should not be prohibited one. The name of the company must end with the word limited so all the persons dealing with the company must know that their liability is limited up to the extent of their of shares. In the case of private limited company the word private limited to be used as the last word of the name. 29 December 2015 17 Formation of Company | CONFIDENTIAL 2015
SITUATION CLAUSE :- The company is required to state the name of the province in which the office is situated. To give the exact address and name of the company where the company is located. A person can know through this the jurisdiction of the court under which the company operates. It also indicates the place for holding annual meeting of the company. The creditors, customers, government, know the whereabouts of the company. All correspondence is done at the office of the company. 29 December 2015 18 Formation of Company | CONFIDENTIAL 2015
OBJECTIVE CLAUSE :- It is the essence of memorandum. it clearly defines the sphere of the company activities. It indicates a series of objects for which the company is established. HERE THE COMPANY SHOULD MENTION ITS MAIN OBJECTIVES SUBSIDARY OBJECTIVES OTHER OBJECTIVES 29 December 2015 19 Formation of Company | CONFIDENTIAL 2015
LIABILITY CLAUSE :- THE EXTENT AND NATURE OF THE LIABILITY OF SHARESHOLDERS SHOULD BE STATED LIKE LIMITED LIABILITY LIMITED BY GAURANTEE UNLIMITED The liability of the members is limited to the extent of the value of shares purchased by them. In a case if a shareholder has to pay the unpaid amount on the share investment, he can be compelled to pay to the extent of unpaid amount on the shares, nothing more. 29 December 2015 20 Formation of Company | CONFIDENTIAL 2015
CAPITAL CLAUSE :- DIVISION OF CAPITAL INTO SHARES OF DIFFERENT DOMINATIONS THE EXTENT OF EACH CAPITAL SHOULD BE SPECIFIED THE AUTHORISED CAPITAL SHOULD BE MENTIONED A COMPANY IS NOT AUTHORISED TO ISSUE ABOVE AUTHORISED CAPITAL 29 December 2015 21 Formation of Company | CONFIDENTIAL 2015
ASSOCIATION CLAUSE:- THIS CLAUSE CONTAINS DELCARATION OF MEMBERS THE NAMES, ADDRESSESS AND OCCUPATIONS OF THE SUBSCRIBERS SHOULD BE MENTIONED THE SIGNATURES ARE TO BE ATTESTED BY PROPER WITNESS 29 December 2015 22 Formation of Company | CONFIDENTIAL 2015
ARTICLES OF ASSOCIATION After memorandum of association, Articles of Association is the most important document to prepare and present to registrar for incorporation or registration. Article of Association explains about the rules and regulation of a company, it discusses the internal points and boundaries that the company cant go beyond that. 29 December 2015 23 Formation of Company | CONFIDENTIAL 2015
Articles of association is a legal document second in importance to memorandum. The articles of association are regulations which governs the internal organization and conduct of the company. The articles of association describe powers of the directors, other officers and shareholders as to voting etc. It also describes the mode and form in which changes in the internal regulations of the company may from time to time be made. The articles are subordinate to the memorandum and they cannot go beyond the scope of the companies act and memorandum of association. 29 December 2015 24 Formation of Company | CONFIDENTIAL 2015
Prospectus Definition: A prospectus means any document described or issued as prospectus and includes any notice or circular, advertisement or other document inviting deposits from the public or inviting offers from the public for the subscription or purchase of any shares in, or debentures of a body corporate. 29 December 2015 25 Formation of Company | CONFIDENTIAL 2015
Contents of Prospectus 1. Name and registered address of the company. 2. The main objects of the company. 3. Information regarding listing of shares on a recognized stock exchange. 4. Particulars pertaining to different classes of shares and extent of interest of holders. 5. The number of shares (if any) fixed by the articles as the qualification of a director and the remuneration of directors. 6. The date of opening and closing of the issue. 7. The names and addresses of auditors and lead managers. 29 December 2015 26 Formation of Company | CONFIDENTIAL 2015
8. Amount payable on application and allotment of shares. 10.Details regarding debenture. 11.Amount of premium or discounts on shares. 12.Details regarding property purchased or acquired against issue of shares. 13.Preliminary expenses. 14.The promoters and their background. 15.Benefit paid to any promoters or officer and consideration thereof. 16.Details regarding contract or appointment of Chief Executive, Managing Agent, Secretary and every other material contract. 29 December 2015 27 Formation of Company | CONFIDENTIAL 2015
17. Name and address of legal advisors. 18. Full particulars of nature and extent of the interest of every director or promoter. 19. Voting rights and rights in respect of capital and dividend. 20. The authorized, issued, subscribed and paid up capital of the company. 21. The size of present issue. Out of this, the shares reserved for preferential allotment to promoters and other should also be stated. 22. Restrictions imposed upon the members of the company. 23. Quorum of general meeting. 24. The location of the plant. 25. Information about projects, plant and its machinery raw material. 29 December 2015 28 Formation of Company | CONFIDENTIAL 2015
LIST OF DIRECTORS :- THE LIST OF DIRECTORS WHO HAVE AGREED TO ACT AS A DIRECTORS SHOULD FILED WITH REGISTRAR THEY SHOULD SUBMIT THEIR - NAMES - AGE - OCCUPATION - FULL ADDRESSES IN CASE WHEN THE LIST IS NOT READY MEMORANDUM WILL BE DEEMED TO BE THE DIRECTORS 29 December 2015 29 Formation of Company | CONFIDENTIAL 2015
CONSENT LETTER OF DIRECTORS :- EVERY PERSON WHO IS READY TO ACT AS DIRECTOR MUST GIVE A WRITTEN UNDERTAKING STATING THAT HE IS WILLINGLY AGREED TO ACT AS A DIRECTORS OF THE COMPANY ALONG WITH THE LETTER THE MUST SUBSCRIBE THE QUALIFICATION OF SHARES AS MENTIONED IN ARTICLES OF ASSOCIATION AND HAVE PAID YHE AMOUNT ACCORDINGLY 29 December 2015 30 Formation of Company | CONFIDENTIAL 2015
NAME APPROVAL CERTIFICATE :- A COPY OF LETTER FROM THE REGISTRAR ANNOUNCING THAT THE NAME OF COMPANY WAS APPROVED WITHOUT ANY OBJECTION 29 December 2015 31 Formation of Company | CONFIDENTIAL 2015
STATEMENT OF AUTHORISED CAPITAL :- THE COMPANY SHOULD PREPARE AND SUBMIT A STATEMENT OF PROPOSED CAPITAL WHICH IS AUTHORISED TO COLLECT FROM THE PUBLIC IT CONTAIN THE NUMBER OF SHARES AND DEBENTURESAND THE AMOUNT OF EACH CATEGORY 29 December 2015 32 Formation of Company | CONFIDENTIAL 2015
STATUTORY DECLARATION :- A COPY OF STATUTORY DECLARATION SHOULD BE ENCLOSED STATING TO THAT ALL THE FORMALITIES HAVE DULY COMPILED WITH AS PER THE PROVISIONS OF COMPANIES ACT. IT SHOULD BE SIGNED BY AN ADVOCATE OF HIGH COURT OR THE SUPREME COURT OR A CHARTED ACCOUNTANT OR A DIRECTOR OR A SECRETARY OR MANAGER . 29 December 2015 33 Formation of Company | CONFIDENTIAL 2015
RECEIPT OF REGISTRATION FEE :- IT IS NECESSARY TO ATTACH THE RECIPT OF THE REGISTRATION WHICH IS PAID TO REGISTRAR OFFICE OF WHICH IT IS CALCULATED BASIS ON THE AUTHORISED CAPITAL OF THE COMPANY 29 December 2015 34 Formation of Company | CONFIDENTIAL 2015
ISSUE OF CERTIFICATE OF INCORPORATION 29 December 2015 35 Formation of Company | CONFIDENTIAL 2015
ISSUE OF CERTIFICATE AFTER THE RECEIPT OF THE ALL THE DOCUMENTS , THE REGISTRAR WILL SCRUTANISE THE DOCUMENTS . AFTER EVERYTHING IS SATISFIED , THE REGISTRAR WIL ISSUE THE CERTIFICATE OF INCORPORATION WITH THIS CERTIFICATE, THE COMPANY GETS ITS RECOGNITION AS A BODY OF CORPORATE. 29 December 2015 36 Formation of Company | CONFIDENTIAL 2015
A PRIVATE COMPANY CAN START ITS OPERATIONS IMMEDIATELY AFTER OBTAINING THE CERTIFICATE OF INCORPORATION 29 December 2015 37 Formation of Company | CONFIDENTIAL 2015
29 December 2015 38 Formation of Company | CONFIDENTIAL 2015
4.Comencement Of Business A certificate of incorporation is one which certifies that the company is incorporated. It is issued by the registrar of companies. It contains :- 1.Name of company. 2.Date of its issue. 3.Signature of registrar with seal. 29 December 2015 39 Formation of Company | CONFIDENTIAL 2015
29 December 2015 40 Formation of Company | CONFIDENTIAL 2015

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formationofacompany-111219073119-phpapp02

  • 1. CORE JAVA 29 December 2015 Formation of Company | CONFIDENTIAL 2015 1 FORMATION OF A COMPANY By-Sonali BBA/13/913
  • 2. COMPANY:- Is an Artificial Person created by Law. Company means an assocoation of many persons who contribute money or money`s worth to a common stock and employed for a common purpose.The common stock so contributed is denote in money and is capital of a company.The person who contribute it or to whom it belongs are members.The proportion of capital to which each member is entitled is his share. Share are always transferable although the right to transfer is often more or less restricted. 29 December 2015 2 Formation of Company | CONFIDENTIAL 2015
  • 3. FORMATIONOF COMPANY 29 December 2015 3 Formation of Company | CONFIDENTIAL 2015
  • 4. STEPSINVOVED:- Promotion Incorporation Capital subscription Certificate of commencement. 29 December 2015 4 Formation of Company | CONFIDENTIAL 2015
  • 5. 29 December 2015 5 Formation of Company | CONFIDENTIAL 2015
  • 6. INTRODUCTION.. It may be noted that before a company is actually formed, certain persons, who wish to form a company, come together with a view to carry on some business. Such persons have to decide various questions a) which business they should start b) They should form a company c) Which type of company they required d) What should be the capital of company. There are various stages in formation of company. 29 December 2015 6 Formation of Company | CONFIDENTIAL 2015
  • 7. Stages in formation of a company Promotion of a Company :The promotion of a company refers to all those steps which are taken from the time of having an idea of starting a company to the time of actual starting of the company business. Who is a promoter? 1. People who think of forming a company and take necessary steps in its formation are known as Promoters or Company Promoters. 2. The person who conceives such an idea is called Company Promoter. 29 December 2015 7 Formation of Company | CONFIDENTIAL 2015
  • 8. Functions of promoters: To discover an idea for establishing a company. To make detailed investigations about the demand for the product, availability of power, labor, raw material. To investigate the idea and know whether the formation of the company is possible and profitable. To find out suitable persons who are willing to act as first directors of the company. To settle the name of company. 29 December 2015 8 Formation of Company | CONFIDENTIAL 2015
  • 9. To submit all the documents required for incorporation with the registrar. To make contracts with vendors, underwriters, and managing directors of the company. To make proper arrangement for the office of the company. 29 December 2015 9 Formation of Company | CONFIDENTIAL 2015
  • 10. Duties and Obligation of Promoters The promoters must disclose fully all the material facts regarding the formation of a company. The promoters must faithfully disclose all the facts relating to the property which they want to sell to the company. The promoters must not make an unfair use their position. To disclose the liability and pay the secret profits if promoters have earned. The prospectus of the company should contain the true statements. Liability on statutory mistakes or frauds in the property. 29 December 2015 10 Formation of Company | CONFIDENTIAL 2015
  • 11. 29 December 2015 11 Formation of Company | CONFIDENTIAL 2015
  • 12. DOCUMENTS NEEDED :- MEMORANDUM OF ASSOCIATION ARTICLES OF ASSOCIATION LIST OF THE DIRECTORS CONSENT LETTER FROM DIRECTORS STATEMENT OF CAPITAL 29 December 2015 12 Formation of Company | CONFIDENTIAL 2015
  • 13. Registration and Incorporation of a Company: The second stage for establishment of a company is to get the company incorporated or registered. The promoters have to prepare and file a number of documents with the registrar. 1-The memorandum of association signed by at least seven persons 2-The articles of association signed by at least seven persons 29 December 2015 13 Formation of Company | CONFIDENTIAL 2015
  • 14. 3-Promoters have to file a prospectus or statement in lieu of prospectus with the registrar. 4-A list of directors and their willingness to act, duly signed by each of them. 5-Notice of address at which the registered office of the company will be situated. All the director whose names are in the list have to submit a declaration certificate that they have taken up qualifying shares and have paid up the money. 29 December 2015 14 Formation of Company | CONFIDENTIAL 2015
  • 15. Memorandum of Association Memorandum of association is the basic document of a company. It is known as the charter of the company. It sets out limits outside which the company cannot go. To enable the shareholders, creditors and all those who deal with the company. 29 December 2015 15 Formation of Company | CONFIDENTIAL 2015
  • 16. CLAUSES (CONTENTS) OF MEMORANDUM OF ASSOCIATION 1. Name Clause. 2. Registered Office clause. 3. Objective Clause. 4. Liability Clause. 5. Capital Clause. 6. Association Clause. 29 December 2015 16 Formation of Company | CONFIDENTIAL 2015
  • 17. NAME CLAUSE:- A company adopts any name but it should not be identical to the name of the existing company. The name should not be prohibited one. The name of the company must end with the word limited so all the persons dealing with the company must know that their liability is limited up to the extent of their of shares. In the case of private limited company the word private limited to be used as the last word of the name. 29 December 2015 17 Formation of Company | CONFIDENTIAL 2015
  • 18. SITUATION CLAUSE :- The company is required to state the name of the province in which the office is situated. To give the exact address and name of the company where the company is located. A person can know through this the jurisdiction of the court under which the company operates. It also indicates the place for holding annual meeting of the company. The creditors, customers, government, know the whereabouts of the company. All correspondence is done at the office of the company. 29 December 2015 18 Formation of Company | CONFIDENTIAL 2015
  • 19. OBJECTIVE CLAUSE :- It is the essence of memorandum. it clearly defines the sphere of the company activities. It indicates a series of objects for which the company is established. HERE THE COMPANY SHOULD MENTION ITS MAIN OBJECTIVES SUBSIDARY OBJECTIVES OTHER OBJECTIVES 29 December 2015 19 Formation of Company | CONFIDENTIAL 2015
  • 20. LIABILITY CLAUSE :- THE EXTENT AND NATURE OF THE LIABILITY OF SHARESHOLDERS SHOULD BE STATED LIKE LIMITED LIABILITY LIMITED BY GAURANTEE UNLIMITED The liability of the members is limited to the extent of the value of shares purchased by them. In a case if a shareholder has to pay the unpaid amount on the share investment, he can be compelled to pay to the extent of unpaid amount on the shares, nothing more. 29 December 2015 20 Formation of Company | CONFIDENTIAL 2015
  • 21. CAPITAL CLAUSE :- DIVISION OF CAPITAL INTO SHARES OF DIFFERENT DOMINATIONS THE EXTENT OF EACH CAPITAL SHOULD BE SPECIFIED THE AUTHORISED CAPITAL SHOULD BE MENTIONED A COMPANY IS NOT AUTHORISED TO ISSUE ABOVE AUTHORISED CAPITAL 29 December 2015 21 Formation of Company | CONFIDENTIAL 2015
  • 22. ASSOCIATION CLAUSE:- THIS CLAUSE CONTAINS DELCARATION OF MEMBERS THE NAMES, ADDRESSESS AND OCCUPATIONS OF THE SUBSCRIBERS SHOULD BE MENTIONED THE SIGNATURES ARE TO BE ATTESTED BY PROPER WITNESS 29 December 2015 22 Formation of Company | CONFIDENTIAL 2015
  • 23. ARTICLES OF ASSOCIATION After memorandum of association, Articles of Association is the most important document to prepare and present to registrar for incorporation or registration. Article of Association explains about the rules and regulation of a company, it discusses the internal points and boundaries that the company cant go beyond that. 29 December 2015 23 Formation of Company | CONFIDENTIAL 2015
  • 24. Articles of association is a legal document second in importance to memorandum. The articles of association are regulations which governs the internal organization and conduct of the company. The articles of association describe powers of the directors, other officers and shareholders as to voting etc. It also describes the mode and form in which changes in the internal regulations of the company may from time to time be made. The articles are subordinate to the memorandum and they cannot go beyond the scope of the companies act and memorandum of association. 29 December 2015 24 Formation of Company | CONFIDENTIAL 2015
  • 25. Prospectus Definition: A prospectus means any document described or issued as prospectus and includes any notice or circular, advertisement or other document inviting deposits from the public or inviting offers from the public for the subscription or purchase of any shares in, or debentures of a body corporate. 29 December 2015 25 Formation of Company | CONFIDENTIAL 2015
  • 26. Contents of Prospectus 1. Name and registered address of the company. 2. The main objects of the company. 3. Information regarding listing of shares on a recognized stock exchange. 4. Particulars pertaining to different classes of shares and extent of interest of holders. 5. The number of shares (if any) fixed by the articles as the qualification of a director and the remuneration of directors. 6. The date of opening and closing of the issue. 7. The names and addresses of auditors and lead managers. 29 December 2015 26 Formation of Company | CONFIDENTIAL 2015
  • 27. 8. Amount payable on application and allotment of shares. 10.Details regarding debenture. 11.Amount of premium or discounts on shares. 12.Details regarding property purchased or acquired against issue of shares. 13.Preliminary expenses. 14.The promoters and their background. 15.Benefit paid to any promoters or officer and consideration thereof. 16.Details regarding contract or appointment of Chief Executive, Managing Agent, Secretary and every other material contract. 29 December 2015 27 Formation of Company | CONFIDENTIAL 2015
  • 28. 17. Name and address of legal advisors. 18. Full particulars of nature and extent of the interest of every director or promoter. 19. Voting rights and rights in respect of capital and dividend. 20. The authorized, issued, subscribed and paid up capital of the company. 21. The size of present issue. Out of this, the shares reserved for preferential allotment to promoters and other should also be stated. 22. Restrictions imposed upon the members of the company. 23. Quorum of general meeting. 24. The location of the plant. 25. Information about projects, plant and its machinery raw material. 29 December 2015 28 Formation of Company | CONFIDENTIAL 2015
  • 29. LIST OF DIRECTORS :- THE LIST OF DIRECTORS WHO HAVE AGREED TO ACT AS A DIRECTORS SHOULD FILED WITH REGISTRAR THEY SHOULD SUBMIT THEIR - NAMES - AGE - OCCUPATION - FULL ADDRESSES IN CASE WHEN THE LIST IS NOT READY MEMORANDUM WILL BE DEEMED TO BE THE DIRECTORS 29 December 2015 29 Formation of Company | CONFIDENTIAL 2015
  • 30. CONSENT LETTER OF DIRECTORS :- EVERY PERSON WHO IS READY TO ACT AS DIRECTOR MUST GIVE A WRITTEN UNDERTAKING STATING THAT HE IS WILLINGLY AGREED TO ACT AS A DIRECTORS OF THE COMPANY ALONG WITH THE LETTER THE MUST SUBSCRIBE THE QUALIFICATION OF SHARES AS MENTIONED IN ARTICLES OF ASSOCIATION AND HAVE PAID YHE AMOUNT ACCORDINGLY 29 December 2015 30 Formation of Company | CONFIDENTIAL 2015
  • 31. NAME APPROVAL CERTIFICATE :- A COPY OF LETTER FROM THE REGISTRAR ANNOUNCING THAT THE NAME OF COMPANY WAS APPROVED WITHOUT ANY OBJECTION 29 December 2015 31 Formation of Company | CONFIDENTIAL 2015
  • 32. STATEMENT OF AUTHORISED CAPITAL :- THE COMPANY SHOULD PREPARE AND SUBMIT A STATEMENT OF PROPOSED CAPITAL WHICH IS AUTHORISED TO COLLECT FROM THE PUBLIC IT CONTAIN THE NUMBER OF SHARES AND DEBENTURESAND THE AMOUNT OF EACH CATEGORY 29 December 2015 32 Formation of Company | CONFIDENTIAL 2015
  • 33. STATUTORY DECLARATION :- A COPY OF STATUTORY DECLARATION SHOULD BE ENCLOSED STATING TO THAT ALL THE FORMALITIES HAVE DULY COMPILED WITH AS PER THE PROVISIONS OF COMPANIES ACT. IT SHOULD BE SIGNED BY AN ADVOCATE OF HIGH COURT OR THE SUPREME COURT OR A CHARTED ACCOUNTANT OR A DIRECTOR OR A SECRETARY OR MANAGER . 29 December 2015 33 Formation of Company | CONFIDENTIAL 2015
  • 34. RECEIPT OF REGISTRATION FEE :- IT IS NECESSARY TO ATTACH THE RECIPT OF THE REGISTRATION WHICH IS PAID TO REGISTRAR OFFICE OF WHICH IT IS CALCULATED BASIS ON THE AUTHORISED CAPITAL OF THE COMPANY 29 December 2015 34 Formation of Company | CONFIDENTIAL 2015
  • 35. ISSUE OF CERTIFICATE OF INCORPORATION 29 December 2015 35 Formation of Company | CONFIDENTIAL 2015
  • 36. ISSUE OF CERTIFICATE AFTER THE RECEIPT OF THE ALL THE DOCUMENTS , THE REGISTRAR WILL SCRUTANISE THE DOCUMENTS . AFTER EVERYTHING IS SATISFIED , THE REGISTRAR WIL ISSUE THE CERTIFICATE OF INCORPORATION WITH THIS CERTIFICATE, THE COMPANY GETS ITS RECOGNITION AS A BODY OF CORPORATE. 29 December 2015 36 Formation of Company | CONFIDENTIAL 2015
  • 37. A PRIVATE COMPANY CAN START ITS OPERATIONS IMMEDIATELY AFTER OBTAINING THE CERTIFICATE OF INCORPORATION 29 December 2015 37 Formation of Company | CONFIDENTIAL 2015
  • 38. 29 December 2015 38 Formation of Company | CONFIDENTIAL 2015
  • 39. 4.Comencement Of Business A certificate of incorporation is one which certifies that the company is incorporated. It is issued by the registrar of companies. It contains :- 1.Name of company. 2.Date of its issue. 3.Signature of registrar with seal. 29 December 2015 39 Formation of Company | CONFIDENTIAL 2015
  • 40. 29 December 2015 40 Formation of Company | CONFIDENTIAL 2015