Q.1 Rahul and Sanchali felt that there was an opportunity of business in providing a service of online grocery stores
for working people. They analysed the idea in terms of technical, financial and economic liability. Once they
found all the aspects satisfactory they decided to start a company called convenience @ home private Ltd. They
got the name registered with the registrar.
(a) Which steps of formation of company are being referred to here?
(b) Also write the next three steps associated with it.
(5 marks)
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Answer:
a) Formation of Company There are two stages in the formation of private company, promotion and incorporation. A public company has to under go capital subscription stage and to the get certificate of commencement of business, to begin operation.
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