Regarding incorporation of new company

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

28 January 2017 A New Company Incorporation is under process. The main business is Real Estate.

Can a Escrow Account be opened in a Bank (Public or Private) in the name of New Company, which is under Incorporation Process.

If Yes, then the amount, as collected in the form of advances, can be kept in the Escrow Account for how much time?

c.bakshi

c.bakshi (Expert)
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28 January 2017 if i talk theoritically, promoters can enter into an agreement before incorporation of a company. but practically, the bank will not ready for opening of such a bank account as norms related with KYC not fulfilled. moreover, no advances can be accepted for a company which is not in existance