Category: Private Limited Company

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Difference Between Trust, Society and Section 8 Company

The most of common structures for Non-Profit Organization in India are Trust, Society and Section 8 Companies.

Trust: Trust is considered to be the oldest form of Charitable Organization. Trust can be either private or public. It is primarily created for the benefit of a section of people. Trust is governed by the Indian Trust Act 1882. The main instrument for Registration of Trust is Trust Deed. The creator of the Trust also appoints trustees. The trustees are given control or powers of administration of property in trust with a legal obligation to administer it solely for the purposes specified.

Society: Societies are governed under Society Registration Act 1860. It is generally formed by seven or more people who come together for a common charitable purpose. The main instrument for Registration of Society is the Memorandum of Association.

Section 8 Company: Section 8 companies are governed by Companies Act 2013.  A company under this section can be formed for promoting charitable object relating to art, commerce, science, health and so on. These companies enjoy all the privileges and subject to all obligations of Limited Companies. Continue reading “Difference Between Trust, Society and Section 8 Company”

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What is Statutory Audit

Statutory Audit is primarily aimed at protecting a company’s shareholders. They help investors gain confidence in a company and reflect the company’s true business health and performance.

A fast-paced business environment combined with the need to be in sync with the global standards has raised the performance bar for companies and brought in high-quality statutory audit requirements in the country. Continue reading “What is Statutory Audit”

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Difference Between Branch and Subsidiary in India

There are many entry modes by which a foreign company can establish an entity in India. The choice of business form entirely depends upon the end goals to be achieved.

In this article we will discuss the following 2 options for foreign companies entering into India:

  1. Establishing a Branch office (BO);
  2. Establishing a Subsidiary or Wholly Owned Subsidiary (WOS)
Continue reading “Difference Between Branch and Subsidiary in India”
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Documents Required for Private Limited Company Registration

Once a name has been given to a company as an entity, the next step is the registration of the company. The list of documents required for private limited company registration is always a cause for confusion. This article takes a look at the necessary steps and documents required for registering a private limited company. Continue reading “Documents Required for Private Limited Company Registration”

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ACTIVE (INC – 22A) Compliance – KYC for Companies

In order to do KYC of companies and to verify their registered office, the Ministry of Corporate Affairs (MCA) has on 21st February 2019 issued Companies (Incorporation) Amendment Rules, 2019 whereby every company, including a company having license under section 8 of the Indian Companies Act 2013 or under section 25 of the erstwhile Indian Companies Act 1956 and incorporated on or before the 31st December, 2017 is now required to file important details of the company and its registered office in e-form ACTIVE (INC – 22A) on or before 25th April 2019. Continue reading “ACTIVE (INC – 22A) Compliance – KYC for Companies”