14 May 2012
Sir, to start a pvt ltd company there is a need of minimum authorized capital of INR 100000. Does this mean INR 100000 as cash. Should I keep this much money in my hand or at bank to set up a company? Is it a must for register under shop and establishment Act as part of registering a company if the main object is to provide consultancy services?
Any private company must fulfill the minimum criteria to incorporate a new company under the Companies Act, 1956. You can open a bank account and keep the money in bank or otherwise you can keep the money in cash itself. But you should open a bank account after the incorporation. Within one month you should bring the subscribed share capital into the business i.e. company's account.
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