Company Law Simplified

A company is an artificial person created by the law for the purpose of carrying on various types of activities such as business, sports, research, etc. There are different kinds of companies. Most of the companies are formed for earning profit only while others are formed for providing facilities to the public. There is a whole process of forming a company and once formed, there are certain rules and laws governing the functions of the company. Since a company is an artificial person, it cannot act on its own, it is the directors who are given the powers of control and management of the company. In theory and according to law, the ultimate control of the affairs of the company lies with the shareholders. They entrust the management to a Board of Directors elected by them. The Board administers the internal affairs and the management of the company. The shareholders are, thus, the risk bearers and the directors are risk takers. Company limited by shares is the most important and popular among the registered companies. Most of the industrial and commercial companies are registered as companies limited by shares. This book can be used by students of various business courses which has business and company law as a subject. It can also be used by people engaged in various business activities who would like to enhance their knowledge of the subject.