Documents required for company incorporation
Any of the following combination of producers can incorporate a producer company:
- Ten or more producers (individuals); or
- Two or more producer institutions; or
- Combination of the above two (10+2).
On registration under Section 581 C (1), the Producer Company shall become a body corporate as if it is a private limited company to which the provisions contained in this Part apply.
It cannot become or deemed to become a public limited company.
- Share capital of a Producer Company shall consist of equity shares only.
- Members’ equity cannot be publicly traded but only transferred
- Only of individuals, then voting rights shall be based on a single vote for every member.
- Only of producer institutions, then voting rights on the basis of their participation.
- Combination of both individuals and producer institutions then voting rights shall be based on a single vote for every member.