Company Affairs

Company

Affairs

Mangla Consulting

Companies Act

Companies incorporated or registered in India are governed by the Companies Act 2013.

Shareholders and Directors

There is no need to appoint local director to incorporate a company in India. Foreign nationals can incorporate company in India and hold foreign equity to the extent of 100%, which is dependent upon sector in which company will operate and is subject to approval from either Reserve Bank of India (RBI) or Foreign Investment Promotion Board (FIPB).

Memorandum & Article of Association

The Memorandum of Association states the main, ancillary / subsidiary and other objects of the proposed company. The Article of Association contains the rules and procedures for the routine conduct of the proposed company. It also states the authorized share capital of the proposed company and the names of its first / permanent directors. After that Memorandum of Association and Article of Association are required to be stamped. A stamp duty is required to be paid on Memorandum of Association and Article of Association. The stamp duty depends on the authorized share capital.

Share Capital

Shares must be expressed in a fixed amount. “No par value” or “bearer” shares are not permitted. Shares to be subscribed must be expressed in Indian rupees.

Accounts & Auditors

Every company is required to appoint an auditor each year at its AGM. An auditor must be qualified by virtue of the Institute of Chartered Accountants of India Act 1949 and completely independent of the company. Audited accounts of the company serve as tool for various stakeholders like creditors, bankers, investors and revenue authorities.

Public Fillings

The names and personal particulars of the directors and secretary, register of charges, share capital, registered office address etc. must be filed with the Companies Registry for public inspection upon incorporation and if there is any change thereafter.

Annual Meetings

An annual general meeting (AGM) must be held once in every financial year and not more than 6 months after the end of financial year. However, a company need not hold its first AGM until 18 months of its incorporation.

 

  • Accounting Systems Setup.
  • Book-Keeping,
  • Premature Death
  • Financial Statement Preparation
  • Checking Account Reconciliation
  • Accounts Receivable/Payable Reconciliations
  • Computerized Accounting
  • Sales Tax Accounting

All Indian registered companies are legally required to have a registered office address in India. It is the address of a company to which all official letters and reminders will be sent. The registered company address must be in a state in which company is registered. The company registered address must always be an effective address for delivering documents to the company, and to avoid delays it is important that all correspondence sent to this address is dealt with promptly. If a company changes its registered office address after incorporation, the new address must be notified to registrar of Companies in Form 18 within 30 days of its change.

If required, we can provide a registered Indian address for your company. This service is particularly useful for companies, such as those being run from home or companies owned by foreigners which will take time to settle down in India, where a separate address for service of routine paperwork from authorities such as Registrar of Companies and the Income Tax Department may be required for various reasons. We would emphasize that the facility is intended solely as an address for service of routine mail only and must not be used as a trading address.

A Virtual registered office is ideal for

  • Having a requirement to hold meetings in the city but no requirement for a full time office.
  • People who often travel and therefore do not have the need for physical office space.
  • Individuals that work from home but require a city identity.
  • Those who require an office identity but do not have the budget for a physical office.
  • New business start-ups who wish to test a new market and cannot yet justify the cost of setting up a permanent office.

Registered

Office Address Facility

Mangla Consulting