Prospectus : An invitation issued to the public to subscribe to shares or debentures of the company giving full information about the company.
Statement in lieu of Prospectus: A document submitted in place of prospectus if the company decides not to approach the public for raising the capital.
Minimum subscription is defined as the minimum amount which in the opinion of the directors (or the signatories to the Memorandum), must be raised by issue of shares to meet the following expenses : i) purchase price of any property bought or to be bought which is to be paid out of the proceeds of the share issue; ii) preliminary expenses; iii) repayment of money borrowed in respect of the above matters; iv) working capital required; and V) any other payment that may be specified.
Registration of a cooperative society -The promoters of a Cooperative Society have to take the following steps to get it registered :
- Make an application to the Registrar of Cooperative Societies stating in it the name of the proposed society, its objects, and particulars about its share capital.
- Prepare the Bye-laws ( rules and regulations) of the Society (similar to the Articles of Association of a Company) to be submitted along with the application for registration of the society.
- The application and the Bye-laws have to be signed by the promoters.
