Question

Define the term "company". What are its characteristics

Answer 1

A Company is an organization where a number of people work to get their income.

Answer 2

A company must be registered under the prevalent Companies Act. If the number of members in an association exceeds 50 and the association is formed for carrying on a business with profit motive, it must be registered under the Companies Act or any other Indian Law otherwise it becomes an illegal association. For forming a public company, at least seven persons and for forming a private company, at least two persons are required. For forming one person company, as a private company, only one person is required.