CS Executive · Company Law and Practice · Board Composition and Powers of the Board
Three friends in Pune want to incorporate Sahyadri Agro Pvt Ltd as a private company with no other category features. What is the minimum number of directors the Board of this company must have?
A private company must have at least two directors. The figure of three applies to public companies and one to a One Person Company, so for Sahyadri Agro Pvt Ltd the minimum board size is two directors.
- A1
- B2Correct
- C3
- D5
Explanation
A private company must have at least two directors. Three is the minimum for a public company, and one applies only to a One Person Company. Five is not a statutory minimum for any basic company type.
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