Category: Companies Act
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The Promoter of Company
Law and You > Corporate Laws > Companies Act, 2013 > The Promoter of a Company A number of persons come together to exploit some business opportunity and incorporate a company to achieve it are called promoters. A company comes into existence generally by a process referred to as incorporation. Once a company has been…
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Private Companies
Law and You > Corporate Laws > Companies Act, 2013 > Private Companies A private limited company is a separate legal entity formed under Companies Act, 2013. It is generally formed by small businessmen who want to own a company but keep its affairs private. This type of business entity limits owner liability to their…
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Lifting of Corporate Veil
Law and You > Corporate Laws > Companies Act, 2013 > Lifting of Corporate Veil A company is an artificial person is clothed with a corporate veil. It cannot act on its own, it can act only through natural persons i.e. through the Directors. The corporate veil separates the company from its shareholders. In this…
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Disadvantages of Incorporation of a Company
Law and You > Corporate Laws > Companies Act, 2013 > Disadvantages of Incorporation of a Company In this article, we shall study the disadvantages of incorporation of a company. Incorporation has many advantages but to understand the working of a company the disadvantages of incorporation are required to be studied. List of Sub-Topics: Incorporating…
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Advantages of Incorporation
Law and You > Corporate Laws > Companies Act, 2013 > Advantages of Incorporation List of Sub-Topics: Incorporating a business is a significant step in its legal and operational journey. It transforms a simple business idea into a distinct legal entity recognized under the law. Incorporation offers a range of benefits that can strengthen the…
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Perpetual succession, Easy Transferability of Shares, and Capacity to Sue and Be Sued
In the last few articles, we have seen basic features of company like corporate personality, limited liability, Separate property. In this article, we shall discuss about more features like Perpetual succession, Easy transferability of shares, and Capacity to sue and be sued. Perpetual Succession: Perpetual succession, means that the membership of a company may keep…
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Duplicate Share Certificate
A share certificate is a certificate issued by the company under its common seal specifying the shares held by any member and the amount paid on each Share. A share certificate is evidence of title of the allottee or transferee to the shares. It is a declaration that the person in whose name the certificate…
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Issue of Shares at Premium/Discount
Section 2(84) of the Companies Act 2013, defines “Shares” as, “Share” means a share in the share capital of a company including stocks. Investors invest in shares because it can give huge profits to them unlike the fixed rate of return on debentures. There are various ways or prices at which a company issues its…
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Brief Concepts Companies Act, 2013 (Shares)
In this article, we shall study important concepts associated with shares under the companies Act, 2013 like: Shares, Stocks, Share certificate, Allotment of shares, Share transfer, Forfeiture of shares, Surrender of shares. Select Sub-Topic a) Shares: When a company issue a prospectus inviting the public to subscribe for the shares of a company, it is…
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FAQs Companies Act, 2013 (Promoters)
This article covers frequently asked questions based on promoter, functions of promoter, duties of promoter, liabilities of promoter, etc. a) Who is a Promoter? According to Section 2 (69) of the Companies Act, 2013“Promoter” means a person—(a) who has been named as such in a prospectus or is identified by the company in the annual…