About Commencement of business

As per companies act 2013 any company incorporated with a share capital have to file a form 20a with the registrar. it is a green light to the government that is started a business. this is a conclusive evidence for a company it is a communication to be issued by the directors within 180 days of incorporation of the company stating that the subscribers to the Memorandum of the company, have paid the value of shares so agreed by them, along with a verification of registered office address of the company.  This declaration needs to be filed along with proof of subscription money received by the company in form 20A with the Registrar of Companies.

WHO REQUIRED TO FILE COMMENCEMENT OF BUSINESS?

Any company having share capital incorporated on or after 2nd November 2018

Yes! for Section 8 Companies having share capital need to file form 20A.

PENALTY IF NOT FILED

  • 50,000/- for Company
  • 1000/- per day for defaulting directors (maximum Rs. 1,00,000/-)

TIMELINE TO FILE

Within 180 days from the date of incorporation.

Services Included

  • Drafting of Documents
  • Filing of Form 20A

Best Suitable

  • All companies incorporated after 2nd November 2018 have to file Form 20A within 180 Days from the date of incorporation

How It Works

  • Purchase of Package
  • Send Company Bank statement which has to show the subscription amount deposited.
  • Drafting of documents
  • Filing of Form 20A

Documents Required

  1. Certificate of incorporation
  2. Incorporated company Bank Statement

Our Packages at a Glance

Choose your package

Basic

1200 /-

(* All Inclusive)
  • Commencement Of Business
  • Form 20A
  • Capital up to 1 Lakh

Standard

1800 /-

(* All Inclusive)
  • Commencement Of Business
  • Form 20A
  • Capital up to 25 Lakh

Advanced

2400 /-

(* All Inclusive)
  • Commencement Of Business
  • Form 20A
  • Capital up to 25 Lakh

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FAQs On Commencement of Business

1. What is the commencement of a business certificate?

As soon as a private company gets the certification of incorporation it can start its business. … If all the legal formalities are done then the registrar issues a certificate known as ‘certificate of commencement of business’. This is the conclusive evidence for the commencement of business for the public company.

2. Steps to obtain Certificate of Commencement of Business?

  1. File form 20A (a declaration) and attach with it the bank account statements of the company as proof of payments for the value of share subscribed
  2. File certificate of registration, which in case of non-banking financial institutions is issued by the Reserve Bank of India.

3. Difference between certificate of incorporation and commencement of business

Certificate of incorporation states that your company is registered,  Where a Certificate of commencement refers to the permission granted for the start of the company. For eg. Public company gets the certificate of commencement after getting incorporated but the Private company can start its business after getting itself incorporated.

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