A. Introduction of One Person Company. (OPC)
It is a company with only one member and one Managing Director. This concept has been accepted in Europe, USA, China, Singapore and in several countries in the Gulf region. This has been introduced in India to allow small entrepreneurs and artisans to do a small business but to have a corporate advantage. The minimum Paid up capital of OPC’s shall be Rs one lakh, and there is no compulsion to hold the AGM’s or Annual General Meetings as is insisted in other companies.
B. Small company.
This is a company which has a paid up capital of Rs fifty lakhs, and such other higher sums not exceeding five crore rupees. The turnover of the company shall not exceed Rs two crores and as approved not more than twenty crore rupees. The Companies Act 2013 provides exemptions to Small Companies primarily from certain requirements relating to board meetings, presentation of cash flow statements and certain merger processes.
C. The minimum number of members.
The minimum number of members in a Private company has been increased from the existing 50 to 200 under the new Companies Act 2013.
D. Changes in requirements as to the company’s official Stationery.
The letterhead, bills or invoices, quotations, emails, publications & notifications, letters or other official communications, should bear the full name of contact person, address of the company’s registered office, Corporate Identity Number ( CIN No. which is a 21 digit number allotted by Government), Telephone number, fax number, Email id, contact website (if any).
The basic documents required to get filed before the Registrar of companies remain the same as in the earlier Companies Act of 1956. The Memorandum of association and the Articles of the association shall be the backbone of any new company.
