Certificate of Commencement
According to the Company Act 1994, the directors of the Joint Stock Company have to collect the certificate of commencement after registration of the company. The directors of the company will apply to the registrar in the certified form provided by the registrar.
In the 50 section of the Company Act 1994, it is said that there are some clauses that determine that the company will start the activities or take a loan from the financial institutions. After getting the Certificate of Commencement Joint Stock Company starts its activities. Usually, the certificate of commencement is issued by the home authorities. It is obligatory to possess this certificate to be able to commence any construction of a property. After obtaining the required licenses, sanctions and permissions for the map, the builder is required to lay the establishment of the superstructure and build boundaries, following which he may obtain the certificate of commencement after examination by the authorities of the town planning and engineering department.
