All posts by eLagaan

eLagaan offers end to end CA, CS, Business Legal & Payroll services for businesses in India. It specialises in formulating investor friendly structures & terms, staying compliant, setting up best practices desired by founders, investors & employees. This facilitates businesses to grow & scale with ease and stay fundable, sale-able and compliant.

What you should know to be a Director in a Company [Whiteboard Friday]

We are generally excited with the idea while floating a new company or joining an existing company as a Director. Since Director is an important position and comes with added responsibilities, it is important to understand its nature and also pre-requisites for the same.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about what it takes if you wish to be a Director in a Company. The new Company Law has specified multiple new conditions and checks to ensure only right people act as Directors in Companies. The video also covers on other financial aspects and reporting norms to be followed and complied by Directors.

Converting a Private Limited into LLP [Whiteboard Friday]

Till some time back Private Limited was the only available choice for incorporating limited liability business in India. Now we have LLP as another choice. Many businesses which had to incorporate as Private Limited but are more suited in LLP form can look to migrate/ convert to LLP thereby reducing various compliance and reporting requirements associated with a Private Limited Company.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about how to go about converting a Private Limited into a LLP. It also looks at various tax and compliances that needs to be complied with, various restrictions the law imposes post conversion and possible areas which needs to be thoroughly examined before taking a call to convert.

Converting General Partnership Business into Private Limited [Whiteboard Friday]

General Partnership is an unlimited liability form of doing business. As business grows, it may make sense for existing Partnership to convert to a better structure like Private Limited so as to get more flexibility and limit Promoter’s liabilities.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about how to go about converting a Partnership into a Private Limited Company. It also looks at various tax and compliances that needs to be complied with, various restrictions the law imposes post conversion and possible areas which needs to be thoroughly examined before taking a call to convert.

Converting a Partnership into LLP [Whiteboard Friday]

General Partnership is an unlimited liability form of doing business. As business grows, it may make sense for existing Partnership to convert to a better structure like LLP so as to limit Promoter’s liabilities.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about how to go about converting a Partnership into a LLP. It also looks at various tax and compliances that needs to be complied with, various restrictions the law imposes post conversion and possible areas which needs to be thoroughly examined before taking a call to convert.

Starting a Liaison Office in India [Whiteboard Friday]

Foreign companies looking to do business with India may need an office to promote the imports/ exports or to represent them in a better fashion with customers and suppliers. In scenarios where only a base is needed to promote various activities and communication exchange, it is advisable to setup a Liaison office in India which offers multiple relaxations from local taxes and compliances.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about how to start a Liaison office in India. It also discusses about various requirements to setup such office, rules, laws, taxes and compliances associated and repatriation of Profits/ Surplus from the operations.

 

Starting a Branch Office in India [Whiteboard Friday]

Foreign companies who wish to operate in India, need to open a Branch office for conducting business. The other form of doing business in India is through a joint venture or a subsidiary route. Branch office offers repatriation benefits.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about how to start a Branch office in India. It also discusses about various requirements to setup such office, rules, laws, taxes and compliances associated and repatriation of Profits/ Surplus from the operations.

Type of Shares/ Securities for Private Limited Companies [Whiteboard Friday]

A Private Limited Company offers multiple instruments to bring investments, share wealth and raise monies for various business needs.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about various types of shares or securities available to companies, their features, scope and limitations so that promoters can take an educated call as to what securities should be used while raising money or sharing wealth with different stakeholders.

Hiring An Intern, A Legal Perspective [Whiteboard Friday]

Almost every company hire interns. They provide a great way of identifying talent, luring them, handling temporary work loads, save costs, propagating company culture and values among upcoming generations etc. The Law, however, recognises a certain set of people only as Interns and extends facilities to promote their hiring. It also offers relaxations on multiple taxes and compliances.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks what set of people can only be treated as Intern from legal perspective. You are free to designate anyone as Intern in your company, but then the relaxations and advantages extended by Law cannot be applied on these cases. It also covers, what steps you should follow to permanently hire allowed Interns in your company.

Explained : Different Types of Company Directors & Their Appointment Details [Legal Resources]

There are multiple classes of Director with different roles and expectations. Most of the time, we speak only being a Director in the Company (which is the most common form) but are not aware of the other types. This is specially true when induct any new person during normal course of business.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about various types of Director that is available as per Company Law, the roles and expectations with each of the positions and how appointments should be made for specific roles. Not following right process or defining the roles in a proper fashion may lead to heavy penalties and non compliance.

101 For Early Stage Entrepreneurs : Roles & Responsibilities of a Director [Whiteboard Friday]

Being a Director in a Company is a responsible position. Many Entrepreneurs are clueless about the role and responsibilities of the Director from Company Law’s viewpoint. This leads to greater non compliance and can also lead to litigations and penalties.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about various activities that a Director is expected to perform while they hold office. It also looks at major and most common of instances of non compliance that could arise and tentative penalties associated with them.

Running a Private Limited Company Under New Companies Act : What Has Changed

The new Company Law has brought many changes in the way a Private Limited Company is structured, how various day to day activities are conducted, newer reporting norms, liberalisation and well as restriction on various areas in order to bring more transparency and incorporate few global best practices in managing companies.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about various these changes, what promoters and Directors should be aware of if they are either incorporating a new company or running an existing business.

Allotment of Shares/ Securities for Startups [Whiteboard Friday]

The new company law has brought important changes to share allotment process. Now most of the allotments need to follow a specific process, information about allotment should be filed with RoC in certain timeframes.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about various options available if a company is planning to raise investments from investors or allot stocks to employees. Non compliance to specified process can turn out really expensive either in terms of too much diluation or heavy penalties.

Converting a LLP into Private Limited Company [Whiteboard Friday]

Since the time Limited Liability Partnerships were introduced in India, many businesses went to incorporate as LLP (for the initial hype) without being aware of its limitations and advantages in true sense. These business have been looking to convert to a Private Limited Company as LLP does not support many agendas like raising professional investments, differential class of stocks, ESOPs etc. Although conversion from LLP to private Limited was always allowed, the exact process was specified recently.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about how to go about converting an LLP into a Private Limited Company. It also looks at various tax and compliances that need to be complied with, various restrictions the law imposes post conversion and possible areas which need to be examined before taking a call to convert.

Demystified: One Person Company For Entrepreneurs

elagaan

The new Company Law has introduced a new business entity called One Person Company, which has limited liability and can be started by a single person. This is an important step and will boost lot of small businesses to move to a limited liability structure.

In this episode of eLagaan Whiteboard Friday, the eLagaan team talks about various features, scope, restrictions associated with a One Person Company along with what factors should be considered (both short and long term) before you decide to start a One Person Company.