Archive | Management

Business: Meaning, Characteristics and Objectives

After reading this article you will learn about:- 1. Meaning of Business 2. Definition of Business 3. Characteristics 4. Objectives. Meaning of Business: The word ‘business’ literally means ‘a state of being busy’. Every person is engaged in some kind of occupation: a worker works in a factory, a teacher teaches in the class, a […]

Factors to Consider Before Selecting a Form of Business Organisation

The following points are taken into consideration while selecting a form of business organisation: 1. Easy in Formation 2. Easy in Raising Finance 3. Extent of Liability 4. Flexibility of Operation 5. Stability and Continuity 6. Secrecy 7. Government Regulations 8. Tax Liability 9. Decision-Making Opportunities. Factor # 1. Easy in Formation: The primary consideration […]

5 Main Forms of Co-Operative Societies

This article throws light upon the five main forms of co-operative societies. The forms are: 1. Co-Operative Societies 2. Consumer’s Co-operative Societies 3. Co-Operative Marketing Societies 4. Industrial Co-Operatives 5. Co-Operative Farming Societies. Form # 1. Co-Operative Credit Societies: The societies are voluntary associations of people with moderate means, formed with the objective of providing […]

Directors of a Company: Meaning, Legal Status and Resignation

After reading this article you will learn about:- 1. Definition of Directors 2. Number of Directors 3. Legal Position/Status 4. Restriction on Appointment 5. Qualification 6. Disqualification 7. Restriction of Number of Directorship 8. Vacation of Office 9. Resignation. Definition of Directors: The directors are the persons elected by the shareholders to direct, conduct, manage […]

How to Appoint Directors in the Company? (6 Ways)

Directors in the company may be appointed in the following ways: 1. By Signatures to the Memorandum 2. By Company in the General Meeting 3. By Board of Directors 4. By Third Parties 5. By Proportional Representation 6. By the Central Government.  Way # 1. Appointment of Directors by Signatures to the Memorandum: (Sec. 254 […]

Managing Director and Manager of a Company

After reading this article you will learn about the managing director and manager of a company. Managing Director: Section 2 (26) of the Companies Act defines a managing director as, “a director who, by virtue of an agreement with the company, or of a resolution passed by the company in general meeting, or by its […]

Difference between Manager and Managing Director | Company

This article will help you to differentiate between manager and managing director of a company. Difference # Manager: 1. Need: A manager may or may not be a director of the company. 2. Power: In case of a manager, Sec. 2 (24) of Act provides that he has the management of the whole or substantially […]

Resolutions Recognised by Companies Act: 3 Types

The Companies Act recognises the following three types of resolutions: 1. Ordinary Resolution 2. Special Resolution 3. Resolutions Requiring Special Notice. Type # 1. Ordinary Resolution: An ordinary resolution is that which is passed by a simple majority at any general meeting of the shareholders. The resolution may be passed by a show of hands […]

Company Meeting: Meaning, Characteristics and Kinds

After reading this article you will learn about:- 1. Meaning and Definition of Company Meeting 2. Characteristics of a Company Meeting 3. One-Man Meeting 4. Kinds. Meaning and Definition of Company Meeting: The word “meeting” is not defined anywhere in the Companies Act. Ordinarily, a company may be defined as gathering, assembling or coming together […]

Difference between Managing Director and Whole-Time Directors

This article will help you to differentiate between managing director and whole-time directors of a company. Difference # Managing Director: 1. Power: A managing director is director who is entrusted with substantial powers of the management. 2. Prohibition: Section 197 A of the Act prohibits a company from having simultaneously both a managing director and […]