Under the Companies Act, 2013, the concept of a "small company" was introduced to promote ease of doing business for entities with limited financial and operational scale. You are a large consulting firm and tasked with

For Financial Year (F.Y.) 2024-25, a small company is defined under Section 2(85) of the Companies Act, 2013, as a private company with paid-up share capital not exceeding ₹ 4 crore and annual turnover not exceeding ₹ 40 crores as per profit and loss account for the immediately preceding financial year. This definition excludes holding companies, subsidiary companies, Section 8 (charitable) companies, and companies governed by special acts. Name of the company Paid up capital (in crores) Turnover (in crores) Notes Answer for whether it is a small company or not Reason Agoya Pvt. Ltd. 4 47 Wholly owned by family members NO Turnover exceeding ₹ 40 crores. Excelibur Services Pvt. Ltd. 3.96 36.6 51% owned by Joy Pvt. Ltd. NO Subsidiary company Glider Pvt. Ltd. 2 25 A company incorporated under a Special Act NO Governed by special acts Jamna Pvt. Ltd. 4 40 Registered under Section 8 NO Section 8 (charitable) companies Gorda Private Limited 3.66 38.2 Wholly owned by family members YES A private company with paid-up share capital not exceeding ₹ 4 crore and annual turnover not exceeding ₹ 40 crores.