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Private Limited Company Registration India

 
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PostPosted: Thu 12:14, 04 Apr 2013    Post subject: Private Limited Company Registration India

What is a Private Limited Company?

A private limited company is a company limited by shares having a minimum of 2 and not more than 50 shareholders. A private company needs to have a minimum paid-up share capital of Rs.1 lakh. It cannot make invitation to the public for subscription of shares or debentures and cannot make or accept deposits from public. Moreover, by virtue of its article of association, there is restriction on the free transferability of shares. The liability of each shareholder is limited to the extent of the unpaid amount of the face value of share and the premium thereon in respect of the shares held by him. However, the liability of a director/manager of such private company at times can be unlimited.

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