Legal World By Shivanshu Katare

PART 1 (of 4) Characteristics of a Company & Types of Companies I. INTRODUCTION Company law forms the backbone of modern corporate regulation in India, governing the structure, functioning, and dissolution of companies. The Companies Act, 2013 replaced the earlier 1956 Act and introduced a comprehensive framework aligned with global standards of corporate governance, transparency, investor protection, and accountability. A company is a statutory form of organization incorporating concepts of limited liability, separate legal personality, perpetual succession, and centralized management. Companies play a vital role in economic development, capital formation, and market expansion. Understanding their characteristics, classifications, management structure, and regulatory mechanisms is essential for students, professionals, and businesses. This Part discusses the essential characteristics of a company and covers the various types of companies , offering a detailed academic and ...

INTRODUCTION Business organizations in India have evolved through diverse legal structures, each designed to meet the needs of commercial efficiency, flexibility, and risk management. Among these, the partnership form of business is historically significant and remains widely used due to its simplicity and contractual foundation. The Indian Partnership Act, 1932 governs traditional partnerships, emphasizing mutual agency, unlimited liability, and strong fiduciary duties. With globalization and the need for hybrid corporate-partnership structures, the Indian business environment witnessed a new statutory design through the Limited Liability Partnership Act, 2008 . An LLP integrates features of both a company (such as separate legal personality and limited liability) and a partnership (such as internal flexibility and minimal compliance). The LLP Act has become an essential alternative business vehicle for professionals, entrepreneurs, and corporate groups. This study provides a de...