Wednesday, November 5, 2014

Meaning of Private Limited Company and its Registration

The Meaning of the private company is same for Company Registration in Delhi or for Company Registration in Noida. Meaning of private limited company has been defined by section 2 sub-section 68 of the Companies Act 2013 and which defined a “private limited company” means a company which have minimum paid-up share capital of ₹ 1 lakh or such higher paid-up share capital as may be prescribed by article of association of the company and the article of such company:-
  • AOA of the company restricts the right of the member to transfer its shares;
  • Except in case of OPC (One Person Company) limits the number of members of the company to two hundred:
To avoid any miss-confusion it has been clarified that where two or more persons jointly hold one or more shares in a company, they shall for the purposes of calculation of number of member be treated as a single member.
Provided further that—
  1. Any persons who are in employment of the company; and
  2. persons who has been formerly in the employment of the company, were members of the company while in such employment and who still continue to be members after the employment ceased,
Shall not be included while calculating the number of members.
  • The article of the company shall prohibits any invitation to the general public to subscribe for any shares or securities of the company
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