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Private Limited Company Registration

private limited company registration

Private Limited Companies are those kind of companies where smallest amount of member is two and highest number is two hundred. A private limited company has the short accountability of members just at the same time it has various attribute as those of a association firm. A private limited company has all the benefit of partnership specifically freedom, greater capital combo of dissimilar and expand capacity, etc., and at the same time it has benefit of limited liability, greater stability and legal entity. In this awareness, a private limited company position between partnership and widely owned public company. recognize marks of a private limited company are directors and meetings, management, formation, shares, number of members, name, etc., The maximum number of directors shall have to be allude in the report of alliance. In the magnificent of advantage and immunity, the Companies Act has pinched a difference between an independent private company and other private company which is a ancillary to the other public company.

Benefit of Private Limited Company

  • Separate Legal Entity

    A company is a lawful living and a juristic person accepted under the Act. thus a company form of coordination has broad legal magnitude and can own property and also bring upon oneself charges. The members of a company have no accountability to the sundry creditors of a company for such debts.

  • Uninterrupted Existance

    A company has everlasting sequence, that is carry on or unbroken actuality until it is lawfully go into solution. A company, living a self-contained legal person, is unchanged by the death or other egress of any member but carry on to be in being regardless of the changes in membership.

  • Borrowing Capacity

    A company be found superior approach for adoption of funds. It can problem debentures, secured as well as unsecured and can also receive payment from the public, etc. Even banking and economic establishment prefer to return large financial assistance to a company by preference than partnership firms or proprietary regard.

  • Easy Transferability

    stocks and shares of a company limited by shares are movable by a shareowner to any other person. Filing and signing a share switch form and pass over the buyer of the shares onward with share certificate can comfortably conveyance shares.

  • Owning Property

    A company existence a jural person, can obtain, own, like and divide, possessions in its own name. No shareholder can make any claim upon the property of the company thus endless as the company is a going care.

  • Limited Liability

    Limited responsibility means the rank of being lawfully in charge of only to a limited amount for debts of a company. Unlike partnerships and proprietorships, in a limited liability company the responsibility of the all members in regard of the company's debts is limited.