Understanding the meaning of a Private Company

DEEPAK SETH | Last updated: 27 April 2020

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A private limited company is a privately held entity for small businesses where members' liability is limited to their shares, which cannot be publicly traded. Key mandatory compliances include maintaining company name boards and letterheads, holding board meetings within specific timelines, issuing share certificates, and directors disclosing their interests. Furthermore, companies must appoint a resident director, file alterations to MOA/AOA, maintain various registers, and adhere to strict rules regarding director appointments, resignations, and directorship limits.

A private limited company is a company which is privately held for small businesses. The liability of the members of a Private Limited Company is limited to the amount of shares respectively held by them. Shares of Private Limited Company cannot be publicly traded. A private company is formed by

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About the Author

DEEPAK SETH

ASSOCIATE PARTNER AT HELPINGHANDS PROFESSIONALS LLP

CS Deepak Seth is an Associate Member of Institute of Companies Secretaries of India having good experience in legal and secretarial matters. He is graduate from Delhi University and Post graduate from IGNOU University. He is also MBA in Finance and LLB Deree holder. He possesses professional experience of more than 3 ... Read more

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