TYPE OF COMPANIES

On the basis of Incorporation

CHARTERED
COMPANIES
.Incorporated under a special
royal charter issued by the king
or head of state
Ex :- The East India
company,Bank of
England,Hudson’s Bay company
.EX:- RBI,IFCI IDBI, LIC
Statutory
companies Registered
companies
.
Established by a special
act of the parliament to Formed and registered
state legislature under the Indian
.May not use Ltd. companies Act,1956
.EX:- Infosys,Wipro etc
etc .
 ON THE BASIS OF LIABILITY
Limited companies UNLIMITED
COMPANIES
Limited by Limited by
shares Guarantee Unlimited
.Liability of .Liability of companies
members [share members is .Liability of members is
holders] is limited limited to a fixed unlimited. They have to
to the extent of face amount which pay the liabilities of the
value of shares held they have company from their
by them guaranteed on personal assets.

ON THE BASIS OF NO.OF MEMBERS

Private panies Public companies Introductio

Private n in Act 2013
A public company is one which
companies is not a private company
.Restricts the rights of the .To form a company at least 7 • One-person-
members totransfer shares members and there is no limit. company
Has to use the word limited at
the end of its name.
 On the basis of ownership and control
Govt.Compani Holding companies
es .owns more than 50%
.Not less than of nominal value of Subsidiary
51% of the share equity share capital of companies
capital of the another company or is .controlled by a
since it owns less
company owned controling the than 50% nominal
by the company composition of the value share capital
owned by the EX;-
board of directors of Reebok,Audi,Tcs
Govt.[central another company
/state /together] Ex:- TATA GROUP
 On the basis of nationality

Domestic
companies Foreign
companies
Domestic companies The company which is
IS a company that is incorporated outside
incorporated in the India but has a place
country [India] of business branches
or agencies is known
as forgen company