In the world of business, circumstances can change unexpectedly, leading to the dissolution or strike off of a company. However, entrepreneurs need not lose hope as there are procedures in place for reviving struck-off companies. One such method is through the Strike Off Company Revival Scheme. In this blog post, we will delve into what this scheme entails and how it provides a simple way for businesses to reinstate themselves.
**What is the Strike Off Company Revival Scheme?**
The Strike Off Company Revival Scheme is a legal process that allows dissolved or struck-off companies to be restored and resume their operations. This scheme offers entrepreneurs an opportunity to revive their businesses without going through extensive legal complexities or court proceedings.
To qualify for the Strike Off Company Revival Scheme, certain conditions must be met:
1. The company should have been struck off under Section 248(5) of Companies Act 2013.
2. The application for revival should be made within twenty years from the date of publication in official gazettes about striking off.
3. The directors and shareholders must ensure all pending statutory compliances are cleared before applying for revival.
**Procedure for Application**
Here’s a simplified step-by-step guide on how to apply under the Strike Off Company Revival Scheme:
1. **Gather Required Documents**: Prepare necessary documents such as board resolutions, director identification numbers (DINs) shareholder resolutions and other relevant paperwork.
2. **File Application with ROC**: Submit Form STK-4 along with supporting documents at your jurisdictional Registrar of Companies (ROC).
3. **Publication in Official Gazette**: After receiving acknowledgment from ROC,the notice regarding revival needs to be published in three widely circulated newspapers.
4 . **Objections & Compliance Resolution**: If any objections are raised during this period, address them suitably. Ensure all pending statutory compliances are resolved.
5. **ROC Order**: Once the Registrar is satisfied with compliance, they will issue an order for revival of the struck-off company.
**Benefits of Strike Off Company Revival Scheme**
The Strike Off Company Revival Scheme offers several benefits to entrepreneurs seeking to revive their businesses:
1. **Ease of Process**: The scheme provides a simple and streamlined process for reinstating companies without lengthy court procedures.
2. **Cost-Effective Solution**: Compared to other methods, this scheme proves cost-effective as it eliminates extensive legal expenses associated with court proceedings.
3. **Preservation of Assets & Brand Value**: By reviving the struck-off company, entrepreneurs can retain ownership over assets and preserve brand value built over time.
4. **Continuity in Business Operations**: With revival comes a renewed opportunity to continue business operations seamlessly and serve existing clients/customers.
Facing the strike off or dissolution of a company can be disheartening for any entrepreneur; however, the Strike Off Company Revival Scheme offers hope by providing a straightforward way to reinstate businesses. With simplified procedures and eligibility criteria ,this scheme enables entrepreneurs to resume operations quickly while preserving their assets and brand value. By understanding this simple method, you can take necessary steps towards restoring your business back on track and embark upon new opportunities in the ever-evolving business landscape