{"id":32329,"date":"2021-06-29T14:54:53","date_gmt":"2021-06-29T09:24:53","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=32329"},"modified":"2021-10-26T16:24:45","modified_gmt":"2021-10-26T10:54:45","slug":"post-incorporation-compliances-for-private-limited-company","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/post-incorporation-compliances-for-private-limited-company\/","title":{"rendered":"Understanding the Post Incorporation Compliances for Private limited company"},"content":{"rendered":"\n

If you are reading this blog then probably you are done with your incorporation process and looking ahead to cater to Post Incorporation Compliances. This write-up will throw some light on the process of incorporation of a company as well as compliances that come in a post-registration stage.\u00a0 <\/p>\n\n\n\n

Setting up a company can be a thrilling process that ensures several rewards. But, there is a long list of compliances that entrepreneurs must be aware of before registering the business. The young blood of our nation seems to be more inclined toward entrepreneurship, thanks to several government schemes and platforms. The pace at which start-ups are growing at present is just phenomenal. <\/p>\n\n\n\n

The Indian government has great admiration for the start-up ecosystem and has taken several steps that foster their growth. Catering to legalities in the pre and post-incorporation phase was somewhat complicated for start-ups a few years back.  However, after the advent of the online registration system, things have become simpler now.  <\/p>\n\n\n\n

Read our article<\/b>:Pvt. Ltd. Company: Things You Must Know <\/a><\/mark><\/p>\n\n\n\n

Post Incorporation Compliances in India for Companies<\/h2>\n\n\n\n

Here\nis the list of imperative post incorporation compliances that one has to\naddress with subtlety.<\/p>\n\n\n\n

\"Post<\/figure><\/div>\n\n\n\n

First meeting of BODs<\/h3>\n\n\n\n

Section\n173(1) of The Companies Act 2013 mandates the company to hold the meeting of\nthe BODs within 30 days from the incorporation date. Directors are allowed to\njoin such a meeting either in person or via video conferencing. <\/p>\n\n\n\n

Setting up a registered office<\/h3>\n\n\n\n

As\nper Section 12(1), a company is required to set up a registered office within\n15 days from the incorporation date. This will be the place where the company is\nsupposed to receive all official communication from the various authorities.\nThe company shall communicate the same to the registrar within thirty days from\nthe incorporation date. <\/p>\n\n\n\n

Incorporating name in places that matter<\/h3>\n\n\n\n

Every\ncompany should mandatorily affix its name at relevant places that are supposed\nto be part of its operations. It should be manifested in the local language.\nMoreover, the letterhead and other printed medium should reflect the company\nname along with its seal. <\/p>\n\n\n\n

Appoint the First Auditor<\/h3>\n\n\n\n

As\nper Section 139(1), BODs must appoint the first auditor within 30 days from the\nincorporation date. In case of failure, the said obligation should be addressed\nby the members within 90 days at an EGM (Extraordinary General Meeting). The\nauditor shall continue to serve his duties until the conclusion of the first\nAGM. <\/p>\n\n\n\n

Interest Disclosure<\/h3>\n\n\n\n

At the very first board meeting, every director shall reveal his interest in any firm\/establishment\/company as cited in section 184(1) of the Companies Act 2013<\/em><\/strong>[1]<\/em><\/strong><\/a><\/sup>. Any modification in the revelations shall be shared with the board in its first meeting occurred during each fiscal year. An autonomous director, if any, should render a declaration that he\/she satisfies the criteria of independence during the initial board meeting as a director. <\/p>\n\n\n\n

Maintain Statutory registers<\/h3>\n\n\n\n

This is one of the most important Post company registration<\/strong><\/a> Compliances. According to the Company Act, it is a compulsion for the company to maintain statutory registers at the registered premises. Since it is a legal obligation, such an activity must be recorded in the prescribed form. Failing to this could compel the company to encounter considerable penalties. <\/p>\n\n\n\n

Issuance of Share certificate<\/h3>\n\n\n\n

The\nCompany is obligated to issue the share certificate to its shareholder within\n60 days from the incorporation date. In case some additional share being\nallotted, the timeline of 60 days is available to the company for issuing the\ncertificate from the allotment date. <\/p>\n\n\n\n

Maintain Books of Accounts<\/h3>\n\n\n\n

In\nlight of Section 128, every company shall properly maintain books of accounts that\nshall reflect a subtle and unprejudiced view of the status quo of the company.   <\/p>\n\n\n\n

The\ncompany should foster a double-entry system and perform accounting functions on\nan accrual basis. <\/p>\n\n\n\n

Certificate for Commencement of business<\/h3>\n\n\n\n

The\nprevailing bylaws mandate company to obtain a certificate of commencement\nwithin 180 days from the incorporation date. There is also a compulsion to file\na disclosure being announced by the directors reflecting that every subscriber\nhas paid any outstanding amount on the shares. <\/p>\n\n\n\n

Conclusion <\/h2>\n\n\n\n

As you see there are plenty of post-incorporation obligations that one needs to cater to with authenticity. It\u2019s needless to mention that any non-compliance in this regard can compel any company to face severe penalties. Make sure there is proper management in place to take care of these compliances so that the core members can focus on core competencies. Ping us in case you seek more clarification on Post Incorporation Compliances. <\/p>\n\n\n\n

Read our article<\/b>:All you need to Know about Private Limited Company <\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"

If you are reading this blog then probably you are done with your incorporation process and looking ahead to cater to Post Incorporation Compliances. This write-up will throw some light on the process of incorporation of a company as well as compliances that come in a post-registration stage.\u00a0 Setting up a company can be a […]<\/p>\n","protected":false},"author":22,"featured_media":32332,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[154],"tags":[1837],"acf":{"service_id":"1"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":4353,"readingTime":3,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/32329"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=32329"}],"version-history":[{"count":18,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/32329\/revisions"}],"predecessor-version":[{"id":37112,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/32329\/revisions\/37112"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/32332"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=32329"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=32329"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=32329"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}