Presentation Transcript
INDIAN COMPANIES LAW: SECTION 25 COMPANY :INDIAN COMPANIES LAW: SECTION 25 COMPANY By:
Navin Maheshwari
Partner,
MediaBizIp
navin@mediabizip.com
SETTING UP OF SECTION 25 COMPANY :SETTING UP OF SECTION 25 COMPANY
What are Section 25 Companies? :What are Section 25 Companies? Section 25 Companies are those companies which are incorporated for promoting art, commerce, science, religion or any other charitable object.
Section 25 Company avails the same benefit as of trust and society which are established under different/ separate laws in India.
Slide 4:Requirement:
Minimum no. of directors shall be 2 (two).
(2) Minimum authorized share capital of the company shall be INR 1,00,000/-,
(3) Directors of the Company to take out DIN and Digital Signature respectively.
(4) Object of the Company should be for the promoting art, commerce, science,
religion, charity or any other useful object.
(5) Profit of the company should be used for the promotion of its object.
Slide 5:Procedure:
Make application in form 1A to ROC for name approval.
Once the name is approved make an application to RD for
granting license under section 25.
(3) Application should be accompanied by
MOA and AOA
Particulars about directors
Form 18
Form 32
Form 1
A certificate with valuation of assets & liability and future earning
of the company
Slide 6:Time Duration
It takes around 15-20 days to complete the total incorporation process of
Section 25 Company.
Slide 7:Benefit of Section 25 Company: Easy to regulate and operate as there are no interference of RD in day to day
affairs of the company.
Lesser compliance as compare to Private and Public Limited Company.
Corporate status is the better mode to represent than trust or society.
Better transparency then trust or society.
Who can help? :Who can help? Company Secretaries (CS) are the best people to get Section 25 Company incorporated.
Forms to be filed under Companies Act, 1956 need to be digitally signed by either CS or CA or CWA.
Slide 9:Thank You