Company law notes rohit natani cs, net, 9783110025 page 3 effects of incorporation section 34. Its life does not depend upon the death, insolvency or retirement of any or all shareholder s or director s. It involves conceiving a business opportunity and taking an initiative to form a company so that practical shape can be given to exploiting the available business opportunity. All chapter wise questions with solutions to help you to revise complete syllabus and score more marks in your examinations. Companies and partnerships compared a a company can be created only by certain prescribed methods most. Formation of a company means bringing a company into existence and starting its business. Forms of business organisation class 11 notes business. Com 6th sem company formation in the formation of a.
Form 1 2 3 4 revision notes pdf, kcse form 1 2 3 4 notes pdf, kcse free set books guide pdf. Each share holder is entitled to transfer his shares of ownership without the consent of other members. The whole process of company formation can be divided into four stages as given below. Jul 23, 2012 formation of companies presented by niteen. A company thus has legal rights and obligations in the same way that a natural person does. All exercise questions with solutions to help you to revise complete syllabus and score more marks in your examinations. In other words, capital formation involves making of more capital goods such as machines, tools, factories, transport equipment, materials, electricity, etc. To form private company and public company not having any share capital, first two stages are sufficient because, a private limited company can start its business. Types of companies formation of a company business. Class 11 business studies chapter 7 formation of a company. Promotion is the discovery of business opportunity and organization of funds, property and ability. Click on the respective units to download the sample copies for quality confirmation. Promotion is the discovery of business opportunity and organization of funds, property and ability in business for the purpose of making profit. Submit application in form inc32 spice to get license of a new company under section 81 and in form no.
Capital formation means increasing the stock of real capital in a country. One of the first steps in the formation of a company is to prepare a document called the memorandum of association hereinafter referred to as moa. A business enterprise does not come into existence. Stage in formation of a company assignment help homework. Company law page 4 of 84 limited and unlimited companies. Formation of a company business studies class 11th business. Ordinary shares of 25p each fully paid 100, 8% irredeemable preference shares 40, retained earnings 1 april 20x0 16, revenue 224, purchases 128, administrative expenses 12,9 00 directors emoluments 3. Icsi house, 22, institutional area, lodi road, new delhi 110 003. A corporation is a business or organization formed by a group of people, and it has rights and liabilities separate from those of the individuals involved. Revising notes in exam days is on of the best tips recommended by teachers during exam days. This guide gives you the essential steps to follow for the formalities of creation. Limited and unlimited companies 1a company is a limited company if the liability of its members is limited by its constitution. To register online tuitions on to clear your doubts. Promotion identification of business opportunities, analysis of its prospects and initiating steps to form a company is known as promotion of a company.
For convenience the whole process of company formation may be divided into the following four stages. Business finance it refers to capital funds and credit funds invested in the business according to bo wheeler, finance is that business activity which is concerned with the acquisition and conservation of capital fund in meeting the financial needs and over all objectives of business enterprise 2. Formation of company there are two stages in the formation of private company. Promotion is the first stage in the formation of a company. As a result, the business becomes a distinct legal entity. Mar 14, 2019 the revision notes help you revise the whole chapter in minutes. Formation of company there are two stages in the formation of private company, promotion and incorporation.
The minimum number of its member is 7 and no maximum limit. There are following four stages in the formation of the public company. Business studies class 11 notes is very important for stundents to revise the whole cbse syllabus in short period of time. The promoter has to fulfill many legal formalities which are.
You are faced with a blank sheet you wonder where to start to create your company. It also contains solved questions for the better grasp of the subject in an easy to download pdf file. From then on this number must appear on all company documentation. Com 6th sem company formation in the formation of a public limited company having share capital, mainly four stages are involved namely. Business studies notes kcse form 1 4 business notes. Apr 17, 2016 formation of a public limited company. Promotion of a company promotion is the first stage in the formation of a company.
Formation of a company corporate law notes hindi formation of a company corporate law notes hindi. The first stage in the formation of a company is promotion. One man company this is a company in which one man holds practically the whole of the share capital of the company, and in order to meet the statutory requirement of minimum number of members some dummy members. The companys constitution the constitution of the company is found in a number of places. Sep 10, 2017 legal formalities for the formation of a company.
A company is a corporation an artificial person created by law. To receive study notes directly to your email, calltextwhatsapp 0724 962 477. Share may be defined as an interest in the company entitling the owner thereof to receive proportionate part of the profits, if any, and, at the same. A public company has to under go capital subscription stage and to the get certificate of commencement of business, to begin operation. All chapter wise questions with solutions to help you to revise complete syllabus.
Definition of a company a company is a corporation an artificial person created by law. Notes on section 8 of the companies act, 20 has been amended by the companies incorporation sixth amendment rules, 2019 dated 7 th june, 2019. Nepal company act, 2063, a company refers to any company formed and registered under this act it is clear from the above definitions that a company is a voluntary association of a group of people willing to carry out a business for which the major part of the capital is collected by selling the shares or debentures to the general public. Answer formation of a company is a complex activity, involving these stages which are as follows. Members may come and go but the company can go on for ever. For making additions to the stock of capital, saving and. Sanjeev kumar singh, asst professor, mba department, vviet, mysuru. Dec 18, 2019 formation of a company class 11 notes pdf formation of a company class 11 notes documents required for company formation new company formation formation of company assignment. The company will be allocated a company number by the registrar. This pdf file for class 11 formation of joint stock company subjects business studies topic contains brief and concise notes for easy understanding of topics and quick learning. The moa of the company contains the fundamental conditions upon which alone the company has been incorporated. The revision notes help you revise the whole chapter in minutes. Jul 06, 2019 5 formation of company in hindi, 6project on company formation, 7 formation of company in company law pdf, 8 formation of public company, 9 formation of a company class 11 notes pdf, 10business.
Class 11 business studies revision notes for chapter 7. Formation of public limited company business study notes. This chapter is incorporated with many concepts introduction to the topic formation of a company, promotion of a company, functions of a promoter, name clause, documents required to be submitted, articles of association, association clause, position of promoters, qualification of shares. If you continue browsing the site, you agree to the use of cookies on this website. He notes that formation of strategic alli ances consists of six stages. Sources of business finance class 11 notes business studies. Cbse class 11 business studies revision notes chapter 7 sources of business finance class 11 notes business studies. Free pdf download of ncert solutions for class 11 business studies chapter 7 formation of a company solved by expert teachers as per ncert cbse book guidelines. The process is also referred to as company incorporation and company registration.
Formation of a company is a chapter that is outlined to explain about how is a company formed. All the provisions of companies act, 1956 as applicable to public company are also applicable to private limited company except the provisions relating to the basic structure of the private limited. Introduction one of the first steps in the formation of a company is to prepare a document called the memorandum of association hereinafte. Jan 18, 2019 under the formation of a company act 20, it is assumed that every company has its memorandum documentation because it is also the charter of the company. Very good notes on formation of a company business studies for class 11th business chapter 7 easy to understand page 1 of 1 notesgen is the no.
Company formation is the process of registering a business as a limited company at companies house. When you incorporate a limited company, it becomes an individual person in the eyes of. Kcse business studies summarized revision pdf notes. Bachelor of business administration bba uploaded by. According to grettenberger, promotion means discovery of business opportunities and the subsequent organization of funds, property, management ability to run a business concern for the purpose of making profit there from. Copies of these textbooks may be downloaded and used as textbooks or for reference. Collectively, this will set down rules as to how the company is to be run. Notes on company and its formation grade 12 principles of. Company is an artificial person created by law to carry on a business for the profit with distinct legal existence. Ncert class 11 business studies formation of a company. Formation of joint stock company business studies class 11. This chapter is incorporated with many concepts introduction to the topic formation of a company, promotion of a company, functions of a promoter, name clause, documents required to be submitted, articles of association, association clause, position of promoters, qualification of. A company is a stable form of business organization.
The procedure for the incorporation of a company can be understood through the following steps selection of the type of a companythe first step for incorporation of a company is to select the type of company the promoters or owners wish to form i. Thus, it begins with somebody having discovered a potential business opportunity. The formation of a company part 1 law llb lecture notes. The steps involved in the formation of a company are. After reading this article you will to learn about. Ncert solutions class 11 business studies chapter 7 formation of a company, pdf free to download. If seen, the companys moa works to keep their external affairs in control while the articles of association aoa of the company works to keep control of the internal affairs of the company. Hi fellow law students, here i am sharing lecture notes in ebook format pdf for the subject company law for llb and ba. It comes into existence from the date of incorporation. Class 11 business studies summary notes has key terms, overview of the all the chapters, important points to remember.
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