Businesses, whether small or large, are essential for economies as they contribute to local communities and drive innovation across various sectors. Even on a smaller scale, these ventures generate employment opportunities and contribute to the commerce of diverse industries.
Micro, Small, and Medium-sized Enterprises (MSMEs) have generated 120 million jobs across all industries in India. Micro and small enterprises play an essential role in the economy, accounting for 33% of India's nominal GDP. In the fiscal year 2022-2023, medium-sized enterprises represent only 1% of MSMEs, while micro firms constitute about 4.5% and small businesses comprise over 90%.
India's nominal GDP is projected to increase from USD 3.5 trillion in 2022 to USD 7.3 trillion by 2030. This steady economic growth trajectory is expected to surpass Japan's GDP by 2030, positioning India as the second-largest economy in the Asia-Pacific region and the fourth-largest in the world.
Launching a business is often the result of a collective vision driven by the goal of offering innovative products or services. Understanding the types available is imperative as you keep striving forward. Researching various business models, ranging from private limited companies and limited liability partnerships to proprietary firms.
At this stage, the role of a Company Secretary (CS) becomes essential. The CS carefully examines the Memorandum of Association (MOA) and Articles of Association (AOA), which form the foundation for the company's establishment, defining its objectives, management structure, rules, and scope of work. Collaborating with directors, the CS handles vital responsibilities such as determining the percentage of authorized capital and allocating shares among key stakeholders. Additionally, they maintain records of AGM and quarterly meetings in accordance with the company's structure.
The feeling of accomplishment upon establishing a company is truly exhilarating. It marks the beginning of taking essential steps to ensure legal compliance aligned with the company's chosen functions. At Taggart Continuum Legal, we support focusing on business growth while handling the creation of legal documents for patents, intellectual property rights, hiring contracts, non-disclosure agreements, and device protection against theft and other risks. In addition, we draft client agreements and statements of work, manage trademark registrations, and address copyright issues.
When a Company is up and running, instances sometimes centre around employee issues or company assets that have gone missing. Shops & Establishments Act and POSH Act direct Employers to form committees for review. Industrial and Employee relations form a crucial segment in running a manufacturing company or a production house, maintaining a good relationship with the Employee Unions become a stabilising factor in the smoother functioning of any Enterprise. In addition, there could be payment issues or breach of contracts with the Organisations a Company associates with.
Our legal team acts promptly in accordance with Indian labour laws, regulations on intellectual property theft, and workplace harassment laws. Taggart Continuum Legal forms committees in accordance with the labour laws and POSH Act, thereby ensuring compliance with regulatory laws and authorities.
Additionally, we proactively address client payment delays, recognising that they are not only a financial loss but also a loss of time invested in creation. Our legal team initiates mediation processes, issues legal notices, and adeptly manages conflicts to prevent financial losses and defamation suits.
Businesses and companies often pursue funding from angel investors, venture capital firms, or through mergers and acquisitions. This represents a significant advancement for a business, enabling it to expand its operations nationally or globally. The funds help in hiring a workforce to support the growth scale. Additionally, investments may be allocated for research and development, fostering the creation of new products and innovations that do not exist in the market. In some cases, investments drive mergers and acquisitions, providing a competitive edge in the market landscape. The value proposition also plays a crucial role for companies seeking investments.
High net-worth individuals (HNIs) often seek sectors offering promising investment returns. As a result, they turn to innovative technologies to diversify their financial portfolios and phase out low-return investments, typically traditional options like fixed deposits and mutual funds.
Taggart Continuum Legal's Company Secretary team identifies potential investors by outlining the company's operations, while our legal team ensures all documentation adheres to State and Central government regulations.
At Taggart Continuum Legal, we recognize the diverse legal hurdles that businesses and organizations encounter. We're not just your legal support; we're dedicated partners committed to your growth and success.