Loan from individual to a pvt. ltd. company
ASHISH ARAT (CA Finalist) (61 Points)
21 March 2023ASHISH ARAT (CA Finalist) (61 Points)
21 March 2023
CA Rakesh Ishi
(Working at Private Company)
(7555 Points)
Replied 23 March 2023
Yes, a private limited company can receive a loan from an individual. Private limited companies are legal entities and can enter into contracts with individuals, including borrowing money. However, there are certain legal and regulatory requirements that must be followed when a private limited company receives a loan.
For example, the loan must be documented with a loan agreement that sets out the terms and conditions of the loan, such as the interest rate, repayment schedule, and any security or collateral that is required.
Additionally, the company may be subject to certain laws and regulations that govern borrowing and lending, such as the Companies Act, 2013, and the Reserve Bank of India's guidelines on external commercial borrowings.
sabyasachi mukherjee
(25739 Points)
Replied 27 March 2023