Loan from Directors

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..... Dear Experts, One of client's registered as OPC Pvt. Ltd. company under the Companies Act,2013 . He got an order for supply of goods from his client's which is worth around ₹ 50 Lakhs. Whereas for the procurement of these goods he needs some funds to execute the order. For this transaction his friend who is in abroad is willing to provide the funds as loan to him and this has to .....

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..... be invested to the company as loan from directors. Once he received the payment from the customers he has to return it to the respective friend. Now my query is that, as per the companies act, whether the loan can be taken by the company from the directors which is also a borrowed money. If yes, what is the procedure to be adopted by the directors. If not what kind of steps to be taken to route .....

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..... this amount. - Reply By malay pota - The Reply = No, money borrowed by the director can bot be give as loan to the Company.The money to be given as loan should not be borrowed from others. - Reply By THYAGARAJAN KALYANASUNDARAM - The Reply = Dear Sir, Thank you for your valuable reply. When a newly formed (OPC) private limited, which is only 2 years old. When he gets the orders from the c .....

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..... ustomer and there is no support from vendors and financial institutions in the initial stage. Where he will get the money, he can only approach from the known sources. If that too restrict by the Act, then how this private concern would flourish. - Reply By malay pota - The Reply = There are other ways to receive source in the new Company instead of loan. If you want you my contact me on my c .....

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..... ell 9898003013. - Loan from Directors - Query Started By: - THYAGARAJAN KALYANASUNDARAM Dated:- 28-8-2019 Corporate Laws / SEBI / LLP - Got 3 Replies - Companies Law - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax .....

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