Guide on Fast Track Exit Scheme -company closure procedure | Venture How to Close a limited Company in India with Fast | Page 3




NIL Certified by Chartered (in Annexure C)In Affidavit, every Director shall mention
reason for closure of company or not carrying on business
Fill form FTE along with scanned copies of the above-signed documents and ID and
Address proofs of all Directors, Affix Digital Signature of any of the Directors and
certify by any of professional.
Upload form with MCA site and after getting the form approved by relevant ROC, the
name of the company is uploaded on the website of MCA for 30 days.
If no objection is received from any person, ROC orders striking off the name of the
company from its
FEES FOR FILING OF FORM FTE:
Rs. 5000/-
OBTAINING THE STATUS OF DORMANT COMPANY:
This is another feasible option for Companies which do not have any significant
transactions presently and are not carrying on any business, however, it cannot be closed
due to the holding of assets to or have hopes for future expansion.
New Companies Act enacted in 2013, under section 455, it has bought a concept of
Dormant Company
A:



Where a company is formed and registered under this Act for a future project or
To hold an asset or intellectual property and
has no significant accounting transaction
OR
B: AN INACTIVE COMPANY:
which has not been carrying on any business or operation or
has not made any significant accounting transaction during the last two financial years
or
 has not filed financial statements and annual returns during the last two financial
years
“Significant accounting transaction” means any transaction other than—


payment of fees by a company to the Registrar;
payments made by it to fulfill the requirements of this Act or any other law;
allotment of shares to fulfill the requirements of this Act; and
payments for maintenance of its office and records.
may make an application to the Registrar in such manner as may be prescribed for
obtaining the status of a dormant company.




WHY SHOULD A COMPANY OBTAIN A STATUS OF A DORMANT COMPANY?