Post Entry Services

After a company is incorporated, there are certain formalities that must be completed to keep the business compliant with the Companies Act, 2013. All incorporated companies need to comply with these provisions, and there are several post-incorporation compliance requirements for companies like maintaining statutory registers, issuing share certificates and appointing an auditor.


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After you incorporate your company, there are a set of compliance procedures that must be completed to maintain your company’s compliance with the Companies Act, 2013. All incorporated companies need to comply with the provisions applicable and start the business operations of their company. Therefore, it is important for people incorporating a company to be aware of the post-incorporation compliance requirements. All post-incorporation compliance requirements, like statutory register maintenance, share certificates, bank account opening, and more are explained in detail in this presentation.

The post registration compliance can be bifurcated in Mandatory and statuary compliance and Event based Compliance are explained in detailed below:


Issue of share certificate

A share certificate is a written document signed on behalf of a corporation that serves as proof that you own the company. A share certificate is also referred to as a stock certificate issued as per the law. Share certificates are documents issued by companies to the real owner of the company and that company can be Private Limited, Public Limited, One Person Company that sell shares in the market.

The share capital of a company is the main source of funding apart from other sources like debentures, loans, etc. A share certificate is issued to any member of a company to document the number of shares held by them. The document issued under the common seal of the company specifying numbers of shares held by any member, is referred as a ‘Share Certificate’.

As per companies act 2013 and section 46 issue of share certificates read with Rule 5 of Companies Share capital and debentures Rules, 2014. Time limit of issue a share certificate in direct condition as below: –

  1. In case of subscriber to the memorandum – 2 months from the date of incorporation.
  2. In case of allotment of any of its share – 2 months from the date of allotment.
  3. In case of transfer or Transmission of share – 1 month from the date of receipt of the instrument.
  4. In case of allotment of debenture – 6 months from the date of allotment.

Appointment of Auditor

The company is regulated by two bodies. The shareholders provide money to the directors of the company, and in return, the directors perform business from those funds that they receive from the shareholders. So, each year, the board of directors must present their books of accounts to the shareholders in a general meeting. In order to have a close look at where their money is being invested by the company, for this purpose, the board appoints an independent person who is practicing Chartered accountant to conduct statutory audit. As per the companies act 2013 a private limited company need to appoint in 30 days from the date of registration. 

Annual Return

The annual return is the return that an investment provides over a period of time, such as a year. It is often expressed as an annual percentage rate of return. An investment’s sources of returns can include dividends, returns of capital, and appreciation in the value (capitalization) of the investment. Annual Return is a document that publicly available, which is prepared by a company every year with the information available as at the close of the financial year, to be filed with the Registrar of Companies. It contains general information about the company and its members, activities of the company & other useful information.


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