Funding is key for any startup to expand its horizon of products and resources. Pitching for investments and getting a deal is one aspect, but the legal side is something that founders find complicated. I experienced this when I saw some of my clients panicking about how to go about funding compliances, once they received confirmation of funds from investors in India or abroad. Continue reading “Funding compliances for startups”
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”
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”