Reviewed by Finin2min Editorial Desk · Last reviewed 11 August 2026
Check the revised ₹10 crore paid-up-capital and ₹100 crore turnover limits together with statutory exclusions.
Check small-company status
Both financial limits and all exclusion tests must be satisfied.
Likely status
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Threshold headroom
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How This Is Calculated
A company qualifies as "small" (with reduced compliance) if it isn't a public company, holding/subsidiary, Section 8 company, or governed by a special Act, AND its paid-up capital doesn't exceed ₹10 crore and turnover doesn't exceed ₹100 crore — both financial limits must be satisfied together with the structural exclusions.
Frequently Asked Questions
What are the current paid-up capital and turnover limits for small company status?
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Paid-up capital up to ₹10 crore and turnover up to ₹100 crore — both limits must be satisfied simultaneously, and either being exceeded disqualifies small company status regardless of the other.
Can a public company ever qualify as a small company?
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No — small company status is available only to private companies. Public companies are excluded by definition, regardless of how small their capital or turnover is.
Scope: Checks whether a private company qualifies as a 'small company' under Section 2(85) of the Companies Act, 2013, based on paid-up capital and turnover thresholds, to determine eligibility for compliance relaxations.
Calculation logic
A company is a small company if it is a private company AND both: (a) paid-up share capital does not exceed the currently prescribed threshold, and (b) turnover as per the last profit and loss account does not exceed the currently prescribed threshold — both conditions must be satisfied together.
Exclusions: a holding or subsidiary company, a company registered under Section 8 (not-for-profit), and a company/body corporate governed by any special Act are never classified as a small company regardless of meeting the capital/turnover thresholds.
Where classified as a small company, flag the specific compliance relaxations available (e.g., fewer mandatory board meetings, cash-flow statement exemption, abridged annual return, reduced penalties under specific provisions).
Inputs and assumptions
Capital and turnover thresholds follow the currently notified figures under Section 2(85) — these thresholds have been revised upward by amendment/notification in the past to expand small-company relief.
Both the capital AND turnover conditions must be met — meeting only one does not qualify the company as small, which the checker enforces as an AND condition, not OR.
Exclusions and edge cases
Classification is assessed based on the last audited financial statements — a company that has just crossed a threshold retains its prior classification until the next financial year's figures reflect the change, per standard practice, which the checker applies based on the figures entered for the relevant year.
Does not itself file any compliance form — this is a classification check to inform which relaxed compliance route applies.