Question

A Private company can commence business as soon as it receives

• A. Certification of incorporation
• B. Letter of intent
• C. Occupation certificate
• D. None of the above

Hint:

A Private Company can commence business immediately upon obtaining the Certificate of Incorporation.

Answer 1

The Correct Option is A

Step 1: Understanding the Requirements for a Private Company to Commence Business.
A Private Company can commence business immediately after receiving the Certificate of Incorporation from the Registrar of Companies (RoC). This certificate validates the existence of the company.

Step 2: Explanation of Other Options.
- (b) A letter of intent is not required for the commencement of business for a Private Company. - (c) An occupation certificate is not required to commence business, especially in the context of company registration. - (d) Since option (a) is correct, option (d) is incorrect.

Step 3: Conclusion.
A Private Company can begin operations as soon as it receives the Certificate of Incorporation.