Proportion of Shareholding

 Myself and my friend are about to start a Pvt Ltd company. The project idea is the effort of both of us. But he is financially better palced than I am. Meaning he can put in more funds at the moment and even later when funds would be required. I need guidance in understanding as to what should be the shareholding of each of us in the company and the financial impact the shareholding will have. I also wish to confirm that we have a very good understanding and trust amongst us. 


ans pls

Company Secretary

Dear Mr. Ashraf



As per mutual understanding between both of you, first of all you will decide how much each one will contribute accordingly the shares will be distributed.




As per your query, there are no specific criteria for shareholding in the company. For incorporation of a new company like private limited company only two shareholders are necessary with the minimum paid up capital of Rs. 1,00,000 and with two directors.



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