Company registration is one of the most popular types of legal entity in Tirupur. If you’re starting a new company it is important to fill the company.The filing should be done under the MCA (ministry of Corporate Affairs). According to Section 3 of companies Act, Company is a legal entity formed and registered under Companies Act 1956. Under the ministry of corporate affairs, each and every company is registered by the registrar of companies for the state. This act contains two types of companies called private and public companies. Chiefly, the company is classified into: Statutory Company, registered company, unregistered company. The registered company is further divided into: company limited by shares, company limited by guarantee, unlimited company.
The differences between Private and Public limited companies are:
- Minimum number of members required for a private limited company is two and for a public limited company is seven.
- Private limited company can have maximum of only 50 members, but a public limited company can have any number of members.
- A private limited company can start its business as soon it is registered, but the public limited company shouldn’t start its business until it receives commencement certificate.
- Private limited company shouldn’t sell its shares to anyone or should not make any invitation to people regarding a company shares, but a public limited company can invite people to buy its shares by issuing a prospectus.
- Private limited company can have two directors, but a public company must have at least three directors.
The company registration can be in done 10-12 working days in Tirupur. For more details, please click here.