Company Act 1956
Company Act 1956
Company Act 1956
Sole Proprietorship
Partnership
Charitable Organization
Sole Proprietorship
No registration required
Unlimited liability
Partnership
Section 11 of Companies Act, 1956
No partnership consisting of more than 20 persons shall be formed
Company
Governing Act Companies Act, 1956
PRIVATE COMPANY
Which by its article restricts:
Numbers of members to 50 Transfer of shares Invitation of public to subscribe its debenture, shares etc. Acceptance of deposits from person other than its shareholders and directors
PUBLIC COMPANY
Which is not * private
Governing Laws
PUBLIC COMPANY
2 to 3 weeks 7 (Seven) No limit INR 5,00,000/Freely. If company is listed then through stock exchange(s) 3
PUBLIC COMPANY
No restriction
No restriction
PUBLIC COMPANY
With the previous approval of Central Government With the consent of Board, If paid up capital of the company is (One) 1 Cr. or more, approval of Central Govt. is necessary Some restrictions
Yes
No restriction
It can do business and earn any amount of profits, but the distribution of profits cannot be made to Shareholders / trustee
Foreign Investment Promotion Board (FIPB) Reserve Bank of India (RBI) Security Exchange Board of India (SEBI) Registrar of Companies (RoC) Trade Mark Registry (TMR) Director General of Foreign Trade (DGFT)
(Proposed
FDI in India
FDI in India
FDI is Prohibited in
Retail Trading Atomic Energy Lottery Business Gambling and Betting Housing and Real Estate business Agriculture (excluding Floriculture, Horticulture, Development of seeds, Animal Husbandry, Pisiculture and Cultivation of vegetables, mushrooms etc. under controlled conditions and services related to agro and allied sectors) and Plantations (Other than Tea plantations)
Liaison Office
Permitted activities for a Liaison Office in India Representing in India the parent company/group companies. Promoting export import from/to India. Promoting technical / financial collaborations between parent / group companies and companies in India. Acting as a communication channel between the parent company and Indian companies.
Apply in Form FNC-1 in quadruplicate to RBI English version of the certificate of incorporation / registration attested by Indian Embassy / Notary public in the country of registration. Latest balance sheet of the applicant company / firm. Certified photo-copy of the agency Agreement, if any, with parties in India. Photo-copy of the Agreement / draft- Agreement / correspondence indicating the terms of appointment of the proposed representative duly authenticated by the applicant. Where applicable, certified photocopy of Government of Indias approval for undertaking projects in India. Where applicable, certified photocopy of the contract / Agreement for undertaking activities / rendering services.
Liaison Office
No
commission / fee will be charged or any other remuneration received by the Indian office of the foreign company for its liaison activities in India.
the liaison work, the office will not undertake any activity of a trading, commercial or industrial nature without the prior permission of RBI entire expenses of the Indian office will be met exclusively by remittance from abroad through normal banking channels.
Except
The
Branch Office
Permitted activities
Export/Import of goods Rendering professional or consultancy services. Carrying out research work, in which the parent company is engaged. Promoting technical or financial collaborations between Indian companies and parent or overseas group company. Representing the parent company in India and acting as buying/selling agent in India. Rendering services in Information Technology and development of software in India. Rendering technical support to the products supplied by parent/group companies. Procedure for setting up Branch Office Same as Liaison Office
Joint Ventures
a)
b)
Joint Ventures
Verify Limit of FDI permitted in proposed JV Drafting of Moa & Aoa in accordance with JV Agreement Incorporation of JV company Private & Public JV Company