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explanation of ch formation of a company

Posted by Chahat Dudeja 5 years, 8 months ago

CBSE > Class 11 > Business Studies

1 answers

Yaser Siddiquee 5 years, 8 months ago

From the time the idea of forming a company is first conceived to the time the company is actually formed and incorporated and commences business, there are four distinct stages, namely: (a) Promotion; (b) Incorporation; (c) Capital Subscription; and (d) Commencement of Business. A private company can commence business immediately after incorporation. That means, only the first two stages are relevant for a private company.

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