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share application money

Others 1727 views 4 replies

In respect of private limited company whether share application money can be collected from outside parties other than existing share holders

if ok

what is the time limit to hold the amount

what is the maximum amount

Replies (4)
yes, a pvt ltd co. can take amount as share application money from outsider. it can hold it for 1 (one ) year only as share application money, with in a year it needs to allot shares ag share appl. money.
yes, a pvt ltd co. can take amount as share application money from outsider. it can hold it for 1 (one ) year only as share application money, with in a year it needs to allot shares ag share appl. money.
thank you harish however i want to know which section under companies act will explain about this so that i can confirm
there is no limit . it can keep shareapplication money for infinite period .


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