Company is legal and independent entity. In India, the following procedure is to be followed to form a company:-
1. Approval of Company’s Name:- First of all the application should be sent to registrar of companies for approval of the company’s name.
2. Filing of Documents With Registrar of Companies:- After the name of company is approved by the registrar of companies, the promoters of the company are supposed to file the following documents with the registrar of companies:-
a) Memorandum of Association.
b) Article of Association.
c) A list of first directors with their consent.
d) A written consent of first directors to pay for qualification shares.
e) Name of registered office of the company.
f) A statutory declaration that all the requirements of the law for registration of a company have been duly complied with.
3) Payment of Fees:- Necessary registration fees and filing fees are to be paid according to the size of authorized capital of company.
4) Certificate of Incorporation:- After all the above mentioned formalities are completed and the registrar of companies is satisfied with all the details, he issues the certificate of incorporation. This certificate of incorporation is the evidence of the registration of company.
It should be noted here that once the certificate of incorporation is issued, it can not be cancelled even if some irregularities are detected after issuing the certificate. To finish the effect of the registration, the remedy is only to wind up of the company.
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