Public deposit in a private company

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CMA Arif Farooqui (Querist)
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28 August 2011 a private company wants loans/funds from public but not on interest.
it has a scheme in which, if a person invest amount in company's any project, company will return his amount after 3 years and pay him some percentage of profit which it earned from that project.
can company do so?
if yes what the procedures?
company is in business of developing residential plot.

CS Bijoy

CS Bijoy (Expert)
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29 August 2011 Private companies are restricted to accept deposit from public otherwise the company will be deemed to public company.

CMA Arif Farooqui

CMA Arif Farooqui (Querist)
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31 August 2011 if the same company convert into public company (unlisted), then can it accept deposit from public on profit sharing basis?

or

is there any other way through which same company accept deposit from public on profit sharing basic?

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