24 November 2016
In case of small company, the paid up capital does not exceed Rs.50 Lacs and Turnover does not exceed Rs.2 Cr. or such higher amount as may be prescribed. That limit of Rs. 5 cr. for paid up capital and Rs. 20 Cr. for Turnover is for the government who cannot prescribe limit for small companies under sec.2(85) more than Rs.5 cr. and Rs. 2Cr. for paid up capital and turnover respectively. So, small company means a private company having paid up capital not exceeding Rs.50 lacs and Turnover not exceeding Rs.2 cr.
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