Deposit under The Companies Act

Provided further that the maximum limit in respect of deposits to be accepted from members shall not apply to following classes of private companies, namely:—

(i) a private company which is a start-up, for five years from the date of its incorporation;

(ii) a private company which fulfils all of the following conditions, namely:—

  • (a) which is not an associate or a subsidiary company of any other company;
    (b) the borrowings of such a company from banks or financial institutions or any body corporate is less than twice of its paid up share capital or fifty crore rupees, whichever is less ; and
    (c) such a company has not defaulted in the repayment of such borrowings subsisting at the time of accepting deposits under section 73:

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