Incorporation of Company in India – Procedure and Steps Involved As far as India is concerned companies are formed as per Companies Act, 2013. It has been said in the section 2 (20) of this Act that only those organizations that are formed as per said Act. It has given a definition of companies saying that company is an incorporated association that is in essence an artificial individual, possesses a separate legal entity, has eternal succession, a common seal, and a common capital that has been made up of limited liability and shares that can be transferred.