Question

State the following statement is True or False:

Company promoters play significant role in the formation of a company.

• A. True
• B. False

Answer 1

The correct option is A True

True

Promoters play significant role in the formation of a company.Promoters are the persons who conceive the idea of business.

A corporate promoter is a firm or person who does the preliminary work incidental to the formation of a company, including its promotion, incorporation, and flotation, and solicits people to invest money in the company, usually when it is being formed.