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Apr12
2021
A ‘Quorum’ in simple words means the minimum number of members that have to be present. Under the Act, the quorum for a General Meeting, a Board Meeting and an Extraordinary General Meeting is enumerated within its provisions.
A quorum refers to the minimum acceptable level of individuals with a vested interest in a company needed to make the proceedings of a meeting valid under the corporate charter. This clause or general agreement ensures there is sufficient representation present at meetings before any changes can be made by the board.
Jul07
2020
A private limited company is the most popular form of business entity. Private limited companies in India are governed by the Companies Act under the Ministry of Corporate Affairs (MCA). Every private limited company has to follow numbers of compliance as laid down by various statutes and other regulatory bodies. These include but are not limited to the periodic filing of tax and other returns, holding the board and other meetings, maintaining statutory books and accounts etc.
Recently, Government strike off more than 2 Lakh companies and disqualified more than 3 Lakh directors for non-compliance of various provisions of Companies Act, 2013. Such type of historic action came at the time when government came to know about the various techniques used by corporate entity to evade taxes.
Apr24
2020
There are certain Compliances under Companies Act, 2013 that are required to be done once company registration is successfully completed. After registration every company gains a separate legal entity and it becomes liable to comply with all the legal requirements mandated under the Act.
Following is a list of all such required compliances under Companies Act, 2013:
Apr16
2020
Capital is the residual interest in the assets of an enterprise after deducting all its liabilities. Also known as owner’s equity, it is the access of the aggregate assets of an enterprise over its aggregate liabilities. In other words, equity represents owner’s claim consisting of items like capital and reserve which are clearly distinct from liabilities, i.e. claims of parties other than owners. The value of equity may change either through contribution from / distribution to equity participants or due to income earned / expenses incurred.
Any company would require funds for expansion and growth of its business. Funds can be acquired into the business in two ways i.e. through capital or loan. Here we will discuss the ways in which further capital could be introduced into the company.
Sep03
2019
Introduction:
Company is a form of business which comes with many compliance requirements. Unlike other forms of business like Proprietorship or Partnership Firm which have very less compliance burden, companies have to comply with lot more regulations. Introduction of Companies Act, 2013 has also increase this compliance burden.
This entails an increasing cost in the form of Government fees, late payment interest & penalty etc. The businessmen have to hire consultants to manage these requirements which in turn further increase their cost.
In the face of global economic slowdown, if the business is not performing well, this additional compliance would only increase losses of the business instead of adding any value. Hence, many small companies prefer to switch to other forms of business like Partnership Firm. In this article we will discuss the process of closing down a Pvt. Ltd. company.
Jul02
2019
