STAGES OF FORMATION OF COMPANY

Introduction
For the purpose of establishing an industrial or a commercial undertaking on a corporate basis, the legal procedure as laid down in the companies Act has to be followed. the formation of a private company is simple but the formation of a public company is , however complicated. the procedure for the formation of a public company has been divided into four stages as follows: 1. Promotion stage. 2. Incorporation stage. 3. Capital subscription stage ( raising of share capital) 4. Business commencement stage.

PROMOTION STAGE