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What is the meaning of Certificate of Incorporation? - Business Studies

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प्रश्न

What is the meaning of the Certificate of Incorporation?

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उत्तर

The certificate of incorporation is the certificate which specifies the birth of the company as a separate entity. A company legally comes into existence or becomes a separate legal entity on the date stated in its certificate of incorporation. For instance, if the certificate is issued on September 30 and the date mentioned on the certificate is September 27, then the company is said to exist since September 27 only. The certificate of incorporation acts as compelling confirmation of the regularity of the incorporation of the company even if there is any flaw in its registration process. A company can immediately commence its business once its certificate of incorporation is issued. Thus, the certificate of incorporation is conclusive evidence of the existence of a company. 

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अध्याय 7: Formation of a Company - Long Answers [पृष्ठ १८०]

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एनसीईआरटी Business Studies [English] Class 11
अध्याय 7 Formation of a Company
Long Answers | Q 5 | पृष्ठ १८०
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