The Annual Examination for Company which is newly incorporated must be held every year in order for the company to continue doing business in the long-term. The Annual Examination for Company must be according to the laws and regulations of the place in which the company is based. The Annual Examination for company is also used for renewal of a company’s business certificate, in order to continue doing business in the region as the business certificate is valid for one year only. Each examination may differ in requirements according to the region of incorporation. After the anniversary date of the company incorporation, the Registrar of Companies requires the specified company to deliver an annual return. Information such as updates on the state affairs of the company during the previous year, number of shareholders of the company, their shareholdings and the operation of each shareholding etc are required.
The services provided include:
- The Annual Examination for a company.
- Joint Annual examination for Foreign Investment Enterprise.
- License Renewal for Overseas/Offshore Company.
- Procedure for the Annual Examination for Company- Existing clients are only needed to sign on the acknowledgement and the annual return file. But a new client has to provide the copies of certificate of incorporation, business registration certificate and NCI.
- Timing of the Annual Examination for Company- The Annual Examination for company would be conducted every year on the anniversary of the incorporation of the company. Any late delivery might lead to the company incurring fines.
- Fees of the Examination- Fees for the examination may vary with region and the profile of the company.
The conductance of the Annual Examination for offshore companies is easier and simpler and it is a legal way for the company to continue its operation. The drafting of statutory documents for the government, resolutions are also proposed at the annual general meeting and board meetings in compliance with the laws of the specific region. Risk assessment is also performed and specific advices are also given for improvements based on the available financial reports of the company. The customers are also updated with the latest regulations in offshore regions and are given professional advice in addition to providing annual examination services. All matters during the annual examination are handled. Risk Aversion advices are provided to the investors based on the operation of the enterprises.
An incorporated company is nothing but a commercial entity which has been created for the sole purpose of carrying a commercial trade which will reap benefits to its owners through the way of revenue. A company comes into existence when a trade, service or commerce related business idea is materialized through the way of venture financing. Throughout the term of the business, capital remains its lifeblood. Compensations are made to the financers in terms of dividends every now and then. Company incorporations are usually larger organizations and more systematic with procedures and processes owing to the several entities that they are obligated by.
Following are a few benefits of a company incorporation which small firms do not enjoy:
- An independent Entity
An incorporated company enjoys the status of being an independent company which is operated by the people mentioned as its board of directors. They decide the direction in which the company grows and also who gets associated with it and how. Although they steer the company, it has an existence of its own which is not affected by the life of the directors or if they want to move on from a particular organization. This gives a company a great advantage of a life which is indefinite and will not end at the death of the owner of the company, which is the case of an individually owned business.
- Limited liability
This is perhaps the best part of a company incorporation. Its liability is only limited to the capital that has been invested in it and the assets that have been purchased in its name. This means that incase of the liquidation of a company incorporation, for any reasons, the personal property of the owner will not be at stake.
- Share transfers
A company incorporation which is publically listed can have its shares sold and re-sold in the secondary financial market. This means that the ownership of the company is not within a few hands and it has a wide scope for development. The fact that new shares can be floated in the market gives an incorporated company the advantage of being able to raise capital for itself when it is required.
A company incorporation does not rely on the lives of the directors or its shareholders. Since it has its own existence which is legal, its succession is based on the transfer of shares. It can enjoy perpetual succession.