With the pace of time it would be rather easy for a Company incorporated under Companies Act, 2013 (erstwhile Companies Act,1956), to get it listed at BSE-SME. There are few major requirements to be fulfil for this purpose.
Post Issue Paid up Capital
The post-issue paid up capital of the company shall be at least Rs. 3 crore.
Net worth (excluding revaluation reserves) of at least Rs.3 crore as per the latest audited financial results.
Net Tangible Assets
At least Rs.3 crore as per the latest audited financial results.
Distributable profits in terms of Section 123 of the Companies Act 2013 for at least two years out of immediately preceding three financial years (each financial year has to be a period of at least 12 months).
Extraordinary income will not be considered for the purpose of calculating distributable profits.
The net worth shall be at least Rs.5 crores.
It is mandatory for a company to have a website.
It is mandatory for the company to facilitate trading in demat securities and enter into an agreement with both the depositories.
There should not be any change in the promoters of the company in preceding one year from date of filing the application to BSE for listing under SME segment.
A certificate from the applicant company / promoting companies stating the following
a) " The Company has not been referred to the Board for Industrial and Financial Reconstruction (BIFR)."
Note: Cases where company is out of BIFR is allowed.
b) There is no winding up petition against the company, which has been admitted by the court or a liquidator has not been appointed.
CS Ashish Khandelwal