Types of Companies
A Private Limited Company is a privately owned entity where the liability of each member is limited to the value of their shares. The company's shares cannot be publicly traded, ensuring greater control among a smaller group of shareholders. A minimum of two members is required to form a Private Limited Company.
A Public Limited Company allows its shares to be offered to the public, providing greater access to capital. It offers limited liability to its owners and management but is subject to stricter regulatory requirements compared to a Private Limited Company. A minimum of seven members is required to establish a Public Limited Company. It offers advantages such as unlimited membership, easy share transferability, and increased transparency.
A One Person Company (OPC), as the name suggests, is a company formed by a single individual. It enjoys most of the benefits of a Private Limited Company, including limited liability and separate legal status. However, it requires a nominee and is subject to certain simplified compliance and annual filing requirements.
Any organization established without a profit motive and for charitable purposes can be registered under Section 8 of the Companies Act, 2013. We offer complete assistance in registering a Non-Profit Company (Section 8 Company) under this Act. Previously, under the old Companies Act, such entities were referred to as Section 25 Companies.
In a Non-Profit Company, the profits or income generated are not distributed among the promoters or directors but are reinvested to further the company's social and charitable objectives. This structure is ideal for organizations working in areas such as microfinance, economic development, social welfare, education, health, and environmental protection.
The registration process involves several key steps, including strategy formulation, documentation, defining objectives, human resource development, IT setup, monitoring systems, publicity, and administrative management. Since such organizations often require substantial funding, effective fundraising and resource mobilization strategies play a crucial role in their growth and sustainability.