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Article explanations about Acceptance From Designated Partners/Members/ Shareholder (section 73(2) (Companies Act, 2013), Loan from Director or a Relative of Director (Companies (Acceptance of Deposits) Rules, 2014 read with Section 73, Loan from another Company and Loan From Banks & Financial Institutions.
| SR NO. | PARTICULARS | LLP | PRIVATE COMPANY | PUBLIC COMPANY |
| 1 | Acceptance From Designated Partners/Members/ Shareholder (sec. 73(2) (Co. Act. 2013) | There are no such clauses in the LLP Act which restricts the LLP on taking loan from any one, subject to terms & conditions mentioned in the LLP Agreement if any. | It can accepts from its members, monies not exceeding one hundred per cent of aggregate of the paid up share capital, free reserves and securities premium. | As per Section 73(2) company accepts deposit upto 35% of its paid up share capital & free reserves & securities premium account from members subject to passing of a special resolution in the general meeting on such conditions: |
| if it is a start-up, it can accept any amount from its members, upto five years from the date of its incorporation. | (a) providing circulars to its members showing financial position, credit rating, total number of depositors, amount due towards deposit, | |||
| it can accept any amount form its members, if it fulfills all of the following conditions, namely: | ( b) filing copy of circular to ROC within 30 days, | |||
| a)which is not an associate or a subsidiary company of any other company; | ( c) on or before 30th Day of April, each year, 20% of the deposit amount maturing during the financial year should be kept in scheduled bank in separate bank account called deposit repayment reserve account, | |||
| b)if the borrowings of such a company from banks or financial institutions or any body corporate is less than twice of its paid up share capital or fifty crore rupees, whichever is lower; and | (d) Company has not committed default in the repayment of deposits accepted uner the Act & interest thereon | |||
| c)such a company has not defaulted in the repayment of such borrowings subsisting at the time of accepting deposits under
this section |
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| 2 | Loan from Director or a Relative of Director(Companies Acceptance of Deposits) Rules, 2014 read with Section 73 | There are no such clauses in the LLP Act which restricts the LLP on taking loan from Partner/Designated Partners, subject to terms & conditions mentioned in the LLP Agreement if any. | it can accept any amount from directors and relatives of directors, unless untill the amount which is given by directors and their relatives to the company is not borrowed by him and he have to give a declaration for this. | it can accept any amount from directors unless untill the amount which is given by directors to the company is not borrowed by them & give a declaration for that, subject to limit specified in section 180(1)(c) i.e. aggregate of its paid up share capital, free reserve & securities premium account. In case of Public Limited Company , loan form relative is treated as deposit under companies act, 2013. If it exceeds the limit specified above, has to pass special resolution under the Companies Act, 2013. |
| 3 | Loan from another Company | LLP can take from any other LLP or Company ,subject to terms & conditions mentioned in the LLP Agreement if any. | It can accept any amount loan from any other Company , Loan form LLP is not allowed except , if LLP is shareholder in the Company. | It can accept any amount of loan from any other Company, subject to limit specified under section 180(1)(c) i.e. aggregate of its paid up share capital, free reserve & securities premium account. If it exceeds the limit specified above, has to pass special resolution under the Companies Act, 2013. |
| 4 | Loan From Banks & Financial Institutions | LLP can take any amount of loan from Banks & Financial Institutions. | It can take any amount of loan from Banks & Financial Institutions. | It can take any amount of loan from Banks & Financial Institutions, subject to limit specified in section 180(1)(c) i.e. aggregate of its paid up share capital, free reserve & securities premium account. If it exceeds the limit specified above, has to pass special resolution under the Companies Act, 2013. |
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