Compliance After Incorporation of Private Limited Company

By Munim.in

Posted on May 26, 2017

1000’s of new company gets registered each month in India, a substantial number of them pertains to the Startups but there is something that all the Startups must know about post company registration compliance.

1.  INTIMATION OF REGISTERED OFFICE (within 15 days from the date of incorporation), if not done at the time of Incorporation: On and from 15 th day of its incorporation and at all times thereafter,the company is required to have a registered office capable of receiving and acknowledging communication and notices. The company is required to file a verification of the registered office with the registrar of companies within the period of 30 days of its incorporation in form INC-22. Furthermore, every company must. In case of any default in complying with any of these requirement in respect of the registered office etc.,a company and every officer who is in default shall be subjected ta a penalty of Rs. 1000 for every day during which the default continues, not exceeding Rs. 100000. However, with Munim.in the Incorporation is done with eSPICE wherein this compliance is not necessary.
2. FIRST MEETING OF BOARD OF DIRECTORS (within 30 days from the date of incorporation):  First meeting of board of directors is required to be held within 30 days of incorporation of company and thereafter 4 meetings are required to be held in every financial year in such a manner that the gap between 2 board meetings should not be more than 120 days. This first board meeting is really very important because generally many kind authorization are to be made by this resolution only.
3. APPOINTMENT OF AUDITORS (within 30 days from the date of incorporation and in case of failure of board of directors ,the members appoint the auditor within 90 days): As per section 139(6) of companies act 2013 ,company has to appoint its first auditor within 30 days from the date of incorporation in a board meeting. If board of directors are not able to appoint them it has to be appointed within 90 days in a general meeting of members. First auditor as appointed is required to hold office till the conclusion of first annual general meeting. Companies act 2013 does not require any form to be filed with ROC but this is a requirement of law and it has to be complied within time.
4. ISSUING OF SHARE CERTIFICATE (within 60 days from the date of incorporation): Within a period of 2 months from the date of incorporation , every company must deliver the share certificate to the subscribers of the memorandum. This means that the subscriber has to remit the agreed subscription amount within 60 days from the date of incorporation. Failure by the company to deliver the certificates will attract a fine which shall not be less than Rs. 25000 but which may be extend to Rs. 500000. Also,every officer of the company who is in default shall be punishable with a fine which is not less than Rs. 10000 but which may extend to Rs. 100000.
5. ANNUAL GENERAL MEETING: A new incorporated company is required to hold its first AGM within a period of nine months from the date of closing of the first financial year of the company. If a company holds its first general meeting as aforesaid, it shall not be necessary for the company to hold any annual general meeting in the year of incorporation. Companies are required to hold its second AGM within a period of six months ,from the date of closing of financial year.
6. FILLING OF DISCLOSURES OF INTEREST OF DIRECTORS: Directors of every company are required to give disclosures about their interest in any other business entity in first board meeting in which the participate as a director and thereafter in first board meeting of every financial year in FORM MBP-1 to the company.
7. FILLING OF FINANCIAL STATEMENT AND FINANCIAL RESULT(within 30 days of its AGM): Every company is required to file its financial statement within 30 days of its annual general meeting with registrar of company in E-FORM AOC-4  which shall be digitally signed by at least one director and is required to be certified by A COMPANY SECRETARY in practice /CHARTERED ACCOUNTANT in practice/ COST ACCOUNTANT in practice if the company is not a small company.
8. FILLING OF ANNUAL RETURN(within 60 days of its AGM): It is mandatory for every company to file its annual return with registrar of companies within 60 days of annual general meeting in E-FORM MGT -7 which shall be digitally signed by at least one director and is required to be certified by A COMPANY SECRETARY in practice if the company is not a small company.
9. DIRECTORS REPORTS: Every director has to disclose about his directorship in other companies every year. This shall be done by giving a declaration in writing to the company every year in a specifies directors format.

Munim.in is an online marketplace for services like Company Registration, Trademark Registration, LLP Registration etc. Munim.in connects Service Seeker with the verified Professionals and allows to order the service through the platform to avail Munim Guarantee. Munim.in ensures that the Client should get the good and complete service.

Compliance After Incorporation of Private Limited Company