SOME BASIC DEFINATIONS

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Promoter:   section 2 (69) of company law 2013

                                     promoter is a person who conceives a idea and does formalities to incorporate the company.



Subscriber:  not defined in companies act

                                      subscriber is aperson mentioned under subscription clause of MOA.


Note   1- every promoter needn't be a subscriber.

            2- every subscriber needn't be a promoter.



Shareholder:   not defined in companies act

                                              Shareholder is a person holding the shares of company.


Note:     1-every subscriber to a MOA is a shareholder.

               2- every shareholder needn't be a subscriber.



Member:  Section 2(55)

                                     Member is a shareholder whose name is registered physically with company or electriconally with depositories.

Note: 1-every member is a shareholder but every shaareholder is not a member.

           2-every subscriber is a member but every member is not a subscriber.


Director: Section 2(34)

                                           Director is a person on whose direction company is accustomed to act.

Note:    1- Every subscriber needn't be a director.

              2- Every director needn't be a subscriber.

                           

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