Question

Maximum number of members in a private company is ______.

Options

• 7

• 200

• 20

• No Limit

Answer 1

Maximum number of members in a private company is 200.

Explanation:

According to the Companies Act, 2013 (Section 2(68)):

A Private Company is one which:

1. Restricts the right to transfer its shares,

2. Has a minimum of 2 members, and

3. A maximum of 200 members (excluding present & past employee-members).