The company is a legal structure of an organisation by a group of people in terms of making a business. The group of people or individuals associated together forming an enterprise by contributing either my money or by any resources with certain regulations and privileges under the Companies Act, 1956, that will be turned into a biggest asset of the members in a firm. It would be very eminent and illustrious if it is properly established by the directors of a company..
Important Characteristics of a Company:
A company could have a separate legal entity. It acts independently by controlling or making contracts regardless of the members in a concern. In the meanwhile, the shareholders will not be liable for the acts of a company. Assets and liabilities will be distinct from the members of the company. Company can do borrowing or lending money, sign or make a new contract, sue or being sued.
A company can be created once it is incorporated. It comes for commencing from the date which is mentioned in the incorporation document. Registered company will be treated as a legal one and others which are not registered would be deemed as an illegal association as per the company laws and norms.
Transferability of shares:
In the articles it is clearly prescribed about the manner the transfer should be made and also the reasonable restriction about transferring rights of the members. To make it more effective, the director can apply to the central government if any refusal been in the transfer of shares.
Steps for company registration Procedure
Obtain Director Identification Number:
First and foremost thing is to get a DIN for both the existing and a intended directors.
Digital Signature Certificate:
To ensure the documents to be secured and get authenticity, one should get a digital signature certificate. Encryption and decryption of information will secure our documents and information. To submit and securing a documents electronically, the digital signature is important.
Company name should be reserved with the help of ROC (Registrar Of Companies).
After got the name approval, it’s mandatory to examine about the memorandum and articles of association.
Obtain the certificate of incorporation.To incorporate a company, following documents are required they are as follows: