The exemptions and privileges enjoyed by a private limited company

The private limited company exemptions and privileges also and its advantages over a public company as follows in the below articles. Section 70(3): Statement in part of lists are required ans it is not be delivered to the registrar before assigning shares. Section 77 (2): Financial helps can be given for purchase of or approving for its own shares or […]

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Fiduciary duties of directors in private limited company

Every private limited company is required to follow the statutory provisions contained in the companies act. The articles of association in relation to increase of capital, issue and allotment of shares and transfer of shares. Here we can see about fiduciary duties of directors in a private limited company. Issue of further shares Although section 81 of the companies act, […]

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The Private company privileges (which is not a subsidiary of any public company)

The private company privileges details are given below. The companies act 1956 grants several exemptions and concessions to private companies as compared to public companies. Briefly, these are : Private company privileges (i) two or more persons may form a private limited company whereas in the case of public limited company a minimum of 7 persons is required [Section 12 […]

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Convert private company into a public company

The public company has the following procedures prescribed in the act for convert private limited company for their status. Similarly, a public limited company can convert itself into a private limited company. Convert Private Limited Company into Public Limited Company A company which is initially incorporated as a private limited company. The company can change its status into that of […]

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