Why Statutory Registers Matter for Every Business
Whether you’re running a startup, a private limited company, or a large corporation, maintaining statutory registers is a legal requirement under the Companies Act, 2013. These registers aren’t just for record-keeping—they’re crucial for compliance, audits, and even during due diligence processes by investors or authorities.
Non-maintenance or incorrect records can result in penalties under ROC (Registrar of Companies) inspections.
So, what exactly are these registers? Let’s break them down.
List of Mandatory Statutory Registers Every Company Must Maintain
1. Register of Members (Form MGT-1)
Tracks all shareholders of the company, including their name, address, and shareholding details. Must be updated after every share transfer or allotment.
2. Register of Directors & KMP (Form MBP-1 & DIR-12)
Details of directors, managing director, company secretary, CFO, and other key managerial personnel.
3. Register of Charges (Form CHG-7)
Every charge (loan/mortgage) created on the company’s assets must be recorded here. It’s crucial for lenders and investors.
4. Register of Loans, Guarantees, and Securities (Form MBP-2)
If the company has given loans, guarantees, or security to any other entity, this must be recorded.
5. Register of Related Party Transactions (RPT)
Any dealings with related parties (subsidiaries, directors, relatives, etc.) must be documented for transparency and legal scrutiny.
6. Register of Contracts (Form MBP-4)
Covers contracts or arrangements in which directors are interested.
7. Register of Share Transfers
Maintains a log of every share transfer done between shareholders or to new investors.
8. Register of Investments
If the company invests in shares, securities, or other companies, it must be recorded here.
9. Register of Employee Stock Options (ESOP)
Applicable for companies offering ESOPs—must contain allotment details, vesting schedules, and beneficiaries.
Additional Registers You May Need:
- Register of Renewed and Duplicate Share Certificates
- Register of Debenture Holders (if applicable)
- Register of Deposits (for companies accepting deposits)
As per the Companies Act, 2013, failing to maintain statutory registers can lead to hefty penalties—often ₹1 lakh or more for the company and its directors. In some cases, it may also lead to disqualification of directors or prosecution.
Conclusion
Compliance may seem overwhelming, but statutory registers are your company’s legal backbone. They show that you’re transparent, accountable, and investor-ready. Whether you’re a small private limited company or a growing enterprise, make sure these registers are updated regularly and stored securely.
Ready to Stay Compliant?
Let Futurex help you manage your company’s statutory records, ROC filings, and end-to-end compliance—hassle-free, penalty-free, stress-free.