Give the meaning of minimum subscription.
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The answer is stated below:
Explanation:
Minimum subscription is the term which is used in the business in order to represent the amount of the issue that has to be subscribed the shares which could not be issued, if its not being subscribed.
As per the Companies Act, 2013, under the Section 49, the first and foremost requisite of the valid allotment is that of the minimum subscription. In the provided prospectus of the firm or organization, the amount of the minimum subscription need to be stated when the shares are being offered to the public.
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