How can a person join any Company as Shareholder of that Company

How can a person join any Company as Shareholder of that Company 

How to allot shares to third party (other than existing shareholders) in private limited company:

1. By Private Placement/ Preferential Issue

2. Existing shareholder(s) can transfer some of their shares to new person.

3. An existing shareholder can renounce their rights.

In point 1. We have to comply section 42 & 62(1)(c) both or alone 62(1)(c),  resolution will be passed with both these sections.

Further, a valuation report is also required to be obtained before the issue, irrespective of the fact whether the issue is at par or at premium.

This blog is authored by Company Secretary Ronak Gupta. He is author of many blogs and runs many websites and youtube channels. His work is dedicated to corporate laws, legal, secretarial, professional services and also in strategy formulations for corporates. Mail him at: csronakgupta23@gmail.com or call at :9910226715

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