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2021

Applicability of Secretarial Audit in India

Secretarial audit is a mandatory compliance which has to be carried out by certain companies in India. The main law that regulates secretarial audit in India is the Companies Act, 2013. Under section 204(1), companies are required to obtain a secretarial audit report from the secretarial auditor. Such provision has to be read with rule 9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014.

The Secretarial Audit is an audit where the Secretarial Auditor expresses an opinion as to whether there subsist appropriate systems and processes in the company proportionate with the size and operations of the company to monitor and check compliance with applicable laws, rules, regulations, and guidelines. In this article we will discuss some of the key features of Secretarial Audit.

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2021

type of companies in india

India has been identified as one of the fastest growing major economies in the world, its service industry being the key contributor. India is going through a phase of extraordinary economic liberation and is encouraging foreign direct investment by granting more accessibility to its massive and diverse market. For these reasons, many companies are now targeting expansion by starting their own business in India. Foreign investors can register various types of companies in India. Depending on the purpose, goals, initial investment, and the duration (short term/long term) of business, investors can decide the structure for their business.

Nowadays, entrepreneurs opt for company form of organisation and look at the scope of entering into Corporate World. Various types of companies can be formed according to the requirement of business and its activities. In this blog, we will discuss the basic types of a company in India. Let us discuss about different type of companies in India. 

2021

New Amendments in Corporate Social Responsibility Rules

According to the United Nations Industrial Development Organisation, Corporate Social Responsibility (CSR) is a management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders. CSR is generally understood as being the way through which a company achieves a balance of economic, environmental and social imperatives (Triple – Bottom Line – Approach), while at the same time addressing the expectations of shareholders and stakeholders. Changes in the global environment increasingly challenge business around the world to look beyond financial performance, and to integrate social and environmental concerns into their strategic management.

2021

An Overview of the New Labour Code and its Financial Impact

• While offering salaries in the private sector the employers generally restrict the component of basic salary to bare minimum to keep its minimum its own contribution for employee provident fund (EPF) as well as payment of gratuity when the employee leaves the employment.
• The balance part of the salary is paid to the employee in the form of various allowances like house rent allowance, conveyance allowance, leave travel allowance and special allowance being the biggest component for people in high salary range.

2020

Employee Stock Option Plan ESOP

Employee Stock Option Plan (ESOP) is an employee benefit scheme under which the company encourages its employees to acquire ownership in the form of shares. These shares are allotted to the employees at a rate considerably lesser than the prevailing market rate. Apart from the employee-benefit motive, ESOPs are also meant to align the interests of the employees with that of the shareholders. It is believed that the employees, who are also the shareholders, will focus better on company performance and growth so that the value of their shares appreciates.

Many companies use employee stock options plans to compensate, retain, and attract employees. These plans are contracts between a company and its employees that give employees the right to buy a specific number of the company’s shares at a fixed price within a certain period of time. The fixed price is often called the grant or exercise price. Employees who are granted stock options hope to profit by exercising their options to buy shares at the exercise price when the shares are trading at a price that is higher than the exercise price.

2020

A Statistical Analysis of Indias shirking GDP Growth

Strict nationwide lockdown due to the novel coronavirus (COVID-19) during the first quarter of the financial year 2020-21 has resulted in very limited economic activity in the country during that quarter. As a result, India’s Gross Domestic Product (GDP) for the April-June quarter (Q1) slipped by a sharp 23.9 per cent, as per provisional estimates released by Ministry of Statistics and Programme Implementation (MoSPI) on 31st August, 2020. The GDP had expanded by 5.2 per cent in the corresponding quarter of 2019-20.

Financial Management