An Overview of Company Formation
A Company is a Separate Legal Entity Formed under Companies Act, 1956 having Separate Legal Entity from its members and Perpetual Succession.
Features: A Company has following Features:-
1. Separate Legal Entity.
2. Perpetual Succession.
3. Limited Liability.
4. Common Seal.
5. Association for Profit.
6. Power to Sue and Be Sued.
Types: Company may be categorized under following heads:
1. Private Company.
As per Companies Act “Private Company” means a company which has a minimum paid-up capital of one lakh rupees or such higher paid- up capital as may be [prescribed, and by its articles:
(a) restricts the right to transfer its shares, if any;
(b) limits the number of its member to fifty not including-
(i) persons who are in employment of the company, and
(ii) person who, having been in formerly in employment of the company, were members of the company while in that employment and have continued to be members after the employment ceased, and;
(c) prohibits any invitation to the public to subscribe for any shares in, or debentures of, the company;
(d) prohibits any invitation or acceptance of deposits from persons other than its members, directors or their relatives.
2. Public Company.
As per Companies Act “Public Company” means a Company which:
(a) is not a Private Company;
(b) has a minimum paid-up capital of five lakh rupees or such higher paid-up capital, as may be prescribed;
(c) is a Private Company which is a subsidiary of a company which is not a Private Company
3. Section 25 Company(Association Not for Profit).
As per Companies Act “Sec 25 Company” means a company which is proved to the satisfaction of the Central Government that an association:
(a) is about to be formed as a limited company for promoting commerce, art, science, religion, charity or any other useful object, and
(b) intends to apply its profits, if any, or other income in promoting its objects and to prohibit the payment of any dividend to its members,
the Central Government may, by license, direct that the association may be registered as a company with the limited liability, without the addition to its name of the word “Limited” or the words “Private Limited”.
4. Producer Company
As per Companies Act “Producer Company” means a body corporate having objects or activities specified in section 5841B and registered as Producer Company under this act.
MCA 21 Services:
We have launched the facility of incorporating a Company online. This facility shall ensure that our clients are able to incorporate a Company online while relaxing at their office or home and connecting to us through our website and email
1. Under the online services platform of MCA21, we can incorporate Companies within the time desired/specified by our clients, because of our technological advantage a ready infrastructure.
2. If you wish to incorporate a Company Online, please proceed to “Check Name Availability” Link.
Detailed overview on Formation/Incorporation of Body Corporate is available in this Link. (Go to the Link)