When a business borrows money from a bank or financial institution, the lender often requires a form of security to ensure the repayment of the loan. This security is called a charge, and the process of creating a charge on assets is a crucial part of business lending in India. Charge creation is the legal process through which a company offers certain assets as collateral to secure a loan. In simpler terms, it means giving the lender a legal right over specific company assets (such as property, machinery, or inventory) in the event of a default on the loan. This provides the lender with a means to recover the debt.When a company borrows funds from a bank or financial institution, the lender may ask for collateral to mitigate the risk of non-repayment. The charge is the legal instrument through which this collateral is created.
RS: 3000/-
A company filing refers to the formal submission of documents, reports, or records to a regulatory body or governing authority. These filings are typically required by law and serve various purposes such as ensuring transparency, compliance, and accountability. Common types of filings include tax returns, financial statements, regulatory disclosures, and intellectual property registrations. For public companies, filings with agencies like the SEC (Securities and Exchange Commission) provide detailed financial and operational information. Private companies might file for tax purposes or to register business entities. Filings are used to inform stakeholders, including investors, regulators, and the public, about the company’s activities, status, and obligations.
