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Showing posts from July, 2023

Q: Discuss Section 152(3) of companies act, 2013 ?

Ans: Every person who is appointed as a director of the company must have been allotted DIN no u/s  153 or any other number u/s 154. (Section 152(3)) .  Important:  DIN Application form: DIR 3 or Spice form 32 ( in case of incorporation of company for maximum 3 directors)  DIN Allotment: Within one month. 

Q: Elaborate section 152(2) of companies act, 2013 ?

Ans: According to section 152(2) of companies act, 2013, the directors will be appointed by the owners of the company. Every director shall be appointed by the company in general meeting of company. The director runs the company whereas the owners are the shareholders of the company.

Q: Discuss Section 152(1) of companies act, 2013 ?

Ans: Section 152(1) of companies act,  2013 lays down the appointment of first director of the Companies.  Section 152(1) of the Act provides for the appointment of the first directors of the companies. The first directors hold their offices from the date of formation of the companies. As per Section 152(1), the Articles of Association of Companies have provisions through which the companies appoint the first directors. Private Limited or Public Limited : When no provision is made in the  articles of a company for the appointment of first director,  the subscribers to the memorandum who are individuals shall be deemed to be the first director of the company until the directors are duly appointed. One Person Company: An individual being member shall be deemed to be its first director until the director or directors are duly appointed by the member in accordance with the provisions of this section.

Q: Should the director be a resident of India ?

Ans: The Companies Act, 2013 (the 'Act) fixes a minimum and a maximum number of directors a company can appoint. Under the Act, a private company is required to appoint at least two directors; while a public company must appoint at least three directors and a One Person Company (OPC) is required to appoint at least one director. A company can appoint a maximum of 15 directors (a maximum of 12 directors were allowed under the Companies Act, 1956). It is possible for a company to increase the number of directors beyond 15 by passing a special resolution to this effect. Moreover, one of the directors of the company must be resident in India, that is, he must have stayed in India for a period of not less than 182 days during the financial year.

Q: What is business communication ?

Ans: Business communication is the process of sharing information between people within the workplace as well as outside a company . Effective business communication is how employees and management interact to reach organizational goals. Its purpose is to ameliorate  organizational practices and lessen errors.