Concept of Private Company

This is a part of lecture presented by Mr. P.C Jangir, Vice Principal of Biyani Girls College. Private company is a company defined under companies act 1956 (3(iii)) as follows
1. It has minimum two members and maximum 50
2. It restricts to transfer of shares to public.
3. It prohibits to public deposits and issue of prospects.
A private company must require at least one lakhs capital shares .at the end the name of The Company the word private limited is to be appended.