A company has no legal existence until properly incorporated according to provisions set out in the Companies Act. These include the filing of the prescribed documents (see company. formation of) and the payment of statutory fees and stamp duties. When the Registrar of Companies is satisfied that the legal requirements have been complied with he will issue a certificate of incorporation. The company then becomes a legal ‘person’ in its own right.
A public company must satisfy more stringent conditions than a private company and additionally cannot commence business until it has satisfied the Registrar that certain other requirements have been met, e.g. that share capital has been subscribed and paid for up to the minimum necessary for the company to qualify as a public company.
Reference: The Penguin Business Dictionary , 3rd edt.
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