COMPANY REGISTRATION
Company registration evaluates and examines activities of business followed by its descriptions and advises to take up suitable business. Company Registration means a set of documents and its descriptions needed by every company. Company registration can be done on different categories based on its descriptions, such as privately limited company registration, public limited company registration, limited liability company registration and one person company registration. There are some effects under this part of company registration. It includes limited liability partnership, any partnership firm, society, cooperative society or any other entity of business and description formed under any other law applied for the registration under this part.
PRIVATE LIMITED COMPANY.
Many states come under this private limited company which has the maximum of 200 members and minimum two members.
Identification of private limited company can be done using the name of the company, directors, meetings, formation etc.
It lies between the widely owned public company and a partnership.
Private Limited Company is the remarkable entity which contains many advantages among small, large, medium businesses in India.
- The principle for start-ups, and growing businesses.
- Can get funds easily.
- Got limited liability.
Most preferable option in private limited company is to begin, in order to maximize external funds easily. It will provide an equity fund which is new, instead of receiving funds.
Recommending private limited company for any business that is considering Employee stock options or venture capital funding or equity funding.
Offers a better image to its promoters in private limited company, or that will stand than that of LLP
Once the incorporation is over the private limited company can begin its business very soon. Register your private limited company in your residential address.
PUBLIC LIMITED COMPANY:
The public limited company is known for the remarkable business entity, .that has multiple economical fields. It was registered under the Act 1980. It has minimum liability which includes shares to be offered to the public. It can be acquired either privately or through anyone through trades on the stock market or during an initial public.
Referred as PLC in some wealthy countries in the USA. It serves to investors or anyone who deals with the company which is public and large.
FORMATION OF PLC
PLC is formed with two or more members, it is established to file the articles of association, which describes its membership, purpose, and capital. Selling shares to the investors to raise its capital. Several other requirements must be met to maintain and obtain the listing. Requirements of stock exchange filing or it must meet current disclosure.
PLCs EXAMPLE:
London stock exchange has many lists of companies. For example, oil company business petroleum formally called BP PLC, accessory retailer Burberry, clothing, Burberry Group PLC, and Rolls Royce automaker.which is Rolls-Royce Holdings PLC.
London stock exchange has 100 largest pcs are together grouped in an index called the Financial Time Stock Exchange, the group contains the companies representative of the whole united kingdom economy.
Stock Exchange has the list, not all PLCs, if there is a PLC suffix in its name in which the company uses, need not to be listed. it means it needs to meet other requirements.
PLC AND ITS ADVANTAGES:
The biggest advantage is the capacity to raise the capital by providing public shares.
More capital can be accumulated than the private limited company.
Exchange attracts interest and investment from offshore investment fund (hedge fund).
Big potential for expansion and growth. PLC can pursue new projects also buy more products, pay off debts and R&D funds.
ONE PERSON COMPANY
One person company is newly introduced business entity. All the operations of corporate entities are performed by a single entrepreneur with a protection of limited liability. OPC require one member and one nominee, who will become a member if any death occurs or original numbers of incapacity.
A person who is natural in its way and resident of India, come before the calendar year can form Open Platform Communications.
More than one OPC cannot be incorporated, or more than one OPC nominee.
Rules of OPC are not allowed in Non-banking Financial Institutions
Getting Digital Signature Certificate is the first step to OPC incorporate.
Through online Incorporate companies, an application can be done under MCA-21. To sign all online documents digital DSC is required to be submitted under information technology. Act 2000, and it ensures submission of authenticity documents. Certifying authorities issues DSC registered with Certifying authorities controller.
LIMITED LIABILITY PARTNERSHIP
All partners in the Limited Liability partnership have limited liabilities. Each partner in LLP is not responsible for negligence or misconduct of another partner. In some countries, Limited liabilities partnerships are distinct from limited partnerships. The partners can manage companies directly. LLP needs at least one person called as general partner. General partner got unlimited liability for the company. In LLP each member is protected from personal liability. LLP has the distinct level of tax liability. In some countries, a limited liability partnership is different from the limited partnership.
BENEFITS
- Flexible to conduct LLP internal structure. It is difficult to organize the internal structure of the company
- Fundraising and its utilization depend on the will of the partners.
- Under the Company Act, 2013 funds can be utilized and can be bought as per the listed norms.
- Professionals like cost accountant, chartered accountant, engineers, advocates, doctors may choose to do LLP registration.
EFFECTS OF REGISTRATION UNDER THIS PART:
If a company is registered in continuation of this part, sub-sections 2 to 7 shall apply.
- Any Parliament Act with all the provisions or any other law based on force of time, or any other instrument regulating or constituting the company, should include the case of a registered company by limited guarantee, there are certain regulations and conditions of the company registration in the same manner and with the same incidents, if the company had been formed under this Act, that must be inserted in the memorandum which includes the registered memorandum and registered articles that includes the residue.
- An act with all the provisions shall apply to the company and the contributors, the members, and the creditors with all respects in the same manner that has been formed under this Act.
- Event of the company can be wound up, every person shall be a contributory, in respects of liabilities and debts of the company contracted before registration, who is liable to pay or contribute to the payment of any liability or debt of the company that were contracted before registration or to pay or contribute to the payment of the charges, costs and expenses of the winding up of a company, so far as relates to such liabilities or debts.
- The provisions of this Act with respect to
A The unlimited company registration as the limited company.
B, Unlimited company powers registration as a limited company, increase the share capitals of nominal amount and to provide share capital ,portion shall not be capable of being called up except in the winding up event, shall apply, resisting anything in any Parliament Act or any other law for the force of time or other instrument regulating or constituting the company.
5. The company is not certified without anything, for any provisions to be altered in the instrument regulating or constituting. If the company is formed originally under this Act must be in the memorandum and are not certified by this act for alteration.
6. Apart from section 242 not even any provisions shall devalue from altering any of its constitutional power or regulations in the company which is vested, by any act of Parliament virtue or any other law for the time force, or other instrument regulating or constituting the company.
7. The instrument includes the deed of limited liability partnership or partnership and settlement.
