The word ‘company’ is derived from the Latin word Com Panis.Com means ‘With or together’ and Panis means ‘Bread’ and it originally referred to an association of persons who took their meals together. In the leisurely past, merchants took advantage of festive gatherings, to discuss business matters. In popular parlance, a company denotes an association of like-minded persons formed for the purpose of carrying on some business or undertaking.In the legal sense, a company is an association of both natural and artificial persons and is incorporated under the existing law of a country. In terms of the Companies Act, 2013 a “company” means a company incorporated under this Act or under any previous company law Section 2 (68). In common law, a company is a “legal person” or “legal entity” separate from, and capable of surviving beyond the lives of its members.