Who can form a company? What needs to be done?

Everyone can start a company, either in single or as a group. In some countries, there are rules regarding the business history of the person(s) who want(s) to form a company. For example, if someone had another company which was declared bankruptcy, are banned from forming another company for some years.

How to form the company, you can follow the following steps:

 

 

Step1: Write a Business Plan

Use these tools and resources to create a business plan. This written guide will help you map out how you will start and run your business successfully.

 

Step2: Get Business Assistance and Training

Take advantage of free training and counseling services, from preparing a business plan and securing financing, to expanding or relocating a business.

 

Step3: Choose a Business Location

Get advice on how to select a customer-friendly location and comply with zoning laws.

 

Step4: Finance Your Business

Find government backed loans, venture capital and research grants to help you get started.

 

Step5: Determine the Legal Structure of Your Business

Decide which form of ownership is best for you: sole proprietorship, partnership, Limited Liability Company (LLC), corporation, S corporation, nonprofit or cooperative.

 

Step6: Register a Business Name ("Doing Business As")

Register your business name with your state government.

 

Step7: Get a Tax Identification Number

Learn which tax identification number you'll need to obtain from the IRS and your state revenue agency.

 

Step8: Register for State and Local Taxes

Register with your state to obtain a tax identification number, workers' compensation, unemployment and disability insurance.

 

Step9: Obtain Business Licenses and Permits

Get a list of federal, state and local licenses and permits required for your business.

 

Step10: Understand Employer Responsibilities

Learn the legal steps you need to take to hire employees.

First thing that is needed to form a company is money and a building and of course it has to be registered and all the documents have to be ready.

Formation or incorporation of A Company – For the formation of a company, a company passes through the following three stages :-1. Promotion Stage: The stage of conceiving an idea and its working is termed as promotion of a company. The person involved in this task is termed as “Promoter”. There are certain important decisions which are taken before the formation of the company. There first important matter to decide could be either :- (1) To start a new business altogether, or (2) To acquire an already running business, if it is available at considerable attractive terms and conditions. Some time it does happen that some people may start a business without having sufficient knowledge or sufficient experience or sufficient funds and later on they decide to dispose of that business to avoid huge losses. In such a case it may be better to acquire a running business with favorable terms and conditions and it may prove to be a good decision. The other important matters be decided before the formation of the company could be the decision regarding the product to be produced, the size of the company, the capital involved in the project, the sources of the capital and whether it shall be a Private Company or a Public Company. Any of the above decisions i.e., to start a new business altogether or to acquire an already running business, along with the other matters shall have to be taken by some person or persons who are at the helm of the affairs. They are called PROMOTERS. Where it has been decided to form a Private Company2 persons and where it has been decided to form a Public Company at least7 persons shall subscribe their names to a Memorandum of Association and they shall also comply with the other formalities in respect of the registration of the company under the Indian Companies Act,1956. Document to be filed with the Registrar: It is desirable to ascertain from the Registrar (Registrar of the State in which the Registered office of the company shall be situated) of the companies that whether the proposed name of the company shall be approved if registration is sought for a new company with such name. Where already a company with such name is existing, it shall not be allowed by the Registrar, because tow companies with the similar name cannot be registered. But if he says yes, because no other company is registered with that name, an application for the registration of the company should be presented to the Registrar of the State in which the Registered office of the company shall be situated. The appl9ication along with necessary fee shall be presented along with the following documents : (1) The Memorandum of Association. (2) The Articles of Association, if any which should be signed by the subscribers to the Memorandum of Association. (3) Any agreement with the individual persons who are proposed to e appointed as Managers, Directors or Managing Director of the company. (4) A statement of the nominal capital of the Company. (5) A notice of address of the registered office of the company. (6) A list of the Directors who have agreed to become the first Directors of the company along with their consent to act as Directors and to take up the qualification shares of the company in the case of a public company. (7) A declaration that all the requirements of the Companies Act have been complied with, shall also be submitted, which shall be signed by one nay of the following persons : (i) An advocate of the Supreme Court or High Court, or (ii) An attorney or a pleader entitled to appear before a High Court, or (iii) A Secretary or a Chartered Accountant in whole time practice in India, who is engaged in the formation of the company, or (iv) A person named in the Articles as a Directors, Manager or Secretary of the company. Where the Registrar of Companies is satisfied that all the requirement have been complied with, he will register the company and enter the name of the company in the Register of Companies.2. Incorporation Stage : Where the Registrar of Companies is satisfied that all the requirements have been complied with, he will register the company, and enter the name of the company in the Register of Companies. When a company is registered and its name in entered in the register of companies, the Registrar will issue a Certificate of Incorporation in which he certifies that the company is incorporated under his hand and in the case of a limited company that the company is a Limited Company.

 

I support the answer given by Mr.Ibrahim Hussein Mayaleh. Business Consultant and Trainer at Self-employed

Anyone can form a business firm to take a license from joint stock company. It's main purpose to make profit.

I Agree With Mr. Vinod Jetley  

 

whats your question about Exactly ? no need for more Tricky questions 

Actually any person can form a company.

Difference takes place in conditions for a formation of a company.

In some countries like England, one person can form a company while in other countries like Beirut you need three for formation of  Holding, SAL or offshore company.

 

Documents must first be prepared like the article of association, ids, first assembly...

Payment of taxes.

Putting guarantee in the bank( the company's capital)

Registration in the commercial registry.

Thanks for the invitation

Agreed with the answer given by

Mr. :Ibrahim Hussein Mayaleh

I've no futher spices to those given by Mr Ibrahim Husein Mayaleh 

 

Anyone can start a company.

1. Decide on a Business Structure

2. Register Your Business

3. Business plan

4. Finance

5. Staff

6. Business Licence to Operate

7. Customers