Producer Company means a body corporate having objects or activities as specified and registered as producer company under the act. It’s a group of people involved in the production of primary produce or having one or more objectives relating to primary produce.
In a producer company, you can make agricultural members and accepts deposit in form of RD/FD and provide them maturity as well as distribute loans to your farmer members and charge interest from them.
A Main objective of the producer company is to facilitate the formation of CO- Operative business as companies and to make it possible to convert existing Co - Operative business into business.
Number of Producers: 10 or more Producers/2 or more producer institutions can form a Producer Company, but there is no upper limit.
Minimum Required Capital: A minimum capital of Rs.5,00,000/- (Rupees Five Lakhs Only) is required to incorporate a Producer Company.
Number of Directors: There should be minimum 5 Directors (maximum of 15) in a Producer Company.
The registration process for a producer company is then similar to that of a Private Limited Company.
A producer Company does not have a limit on the number of members, further through the name of a Producer Company ends with the words Producer Limited Company.
Documents for directors: Two identity proof documents like Aadhar Card, Pan Card, Passport, Driving Licence or any other government issued identity document, would be required.
In addition to the identity proof, the directors must submit residence proof that not less than three months old proof of residence documents includes bank statements, electricity bill, Water Bill, Gas Bill and telephone Bill.
Documents for Registered office: In the case lease deed for the registered office premises and EB Bill/Property tax receipt/Water Bill Copy of the registered office property. In case of own property, copy of sale deed along with the EB Bill/Property Tax Receipt/Water Bill Copy of the registered office property