Company Incorporation

Company Incorporation

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Company formation is the term for the process of incorporation of a business . It is also sometimes referred to as company registration . These terms are both also used when incorporating a business .

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► Here, business assets are separated from personal assets. Every shareholder is just responsible for his share of the total capital. Pvt Ltd Companies need to maintain records of financial transactions, board meetings, and annual reports and so on.
► A Pvt Ltd company consists of a group of shareholders and the total capital of the entity is made up of shares. These shares can be sold/transferred to another individual who then also becomes one of the owners of the company.
► A business registered in the name of an individual is called Sole Proprietorship. A single person is completely responsible for the entire business with the business and the owner not being separate from each other. The owner funds the business, takes any profits and bears any losses.
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