Who is an Independent director?As per Section 149(4) of Companies Act, 2013 every listed company is required to have independent directors amounting at least a third of the total number of directors. The number of independent directors can however be altered by Central Government from time to time. And specifically for the purpose of this … Read more
Who is the Chief Executive Officer of a Company ?Chief Executive Officer of a company is an important person that everyone in the entity looks upon to for guidance and motivation. He heads a company and is responsible for its day-to-day activities. A Chief Executive officer as per Section 2(18) of Companies Act, 2013 is … Read more
What is the Difference Between Memorandum of Association & Articles of Association?Every company irrespective of it being private, public or listed needs to formulate Memorandum of Association (MOA) and Articles of Association (AOA). As per Companies (Incorporation) Rules, 2014 a company cannot get registered in absence of these documents. These documents form an integral part … Read more
What is the Effect of Registration of Private Limited Company?I will first start with the basics of Registration of Company followed by Effect of Registration of Private Limited Company. A Private Limited Company is an artificial person and in order to perform business activities it first needs to come into existence. Its existence is legalized … Read more
What is Annual Return of a Company?As per Section 92 of Companies Act, 2013 every company is required to file an annual return with the Ministry of Corporate Affairs. The method that is used to submit annual return of a company is XBRL (eXtensive Business Reporting Language). The return is to be filed electronically in … Read more
Removal of Directors:A company is owned by its shareholders and belongs to them even though if a shareholder holds a single share. On the other hand, directors are like employees of a company who may or may not hold any shares of the company. They are answerable to the shareholders. You can removal of directors … Read more
What are the Benefits of One Person Company?One person company (OPC) is a unique concept introduced by Companies Act, 2013. A one person Company is a company that has only one member. One person company registration is simple and doesn’t take much time. It is like a sole proprietorship but in form of a company. … Read more
What are the Benefits of Company with Charitable Purpose Objectives?Companies involved in charitable activities or have charitable objects are governed by Section 8 of Companies Act, 2013. A company is said to be a charitable company if Central Government is satisfied that a limited company formed has promotion of commerce, science, arts, sports, education, protection … Read more