The Ministry of Corporate Affairs (MCA) has introduced startup-friendly amendments under the Companies Act to promote ease of doing business and reduce compliance burdens. Notable updates include simplified incorporation processes, leniency in filing deadlines, and relaxed penal provisions for first-time defaults.

These changes are a significant boost for entrepreneurs and early-stage companies striving to scale efficiently. Startups are encouraged to realign their legal documentation and reporting frameworks accordingly. The corporate team at DRS Legal Consultancy is assisting startups in updating shareholder agreements, MOAs, and annual compliance protocols in line with these new rules.