What is Corporate Governance?
Corporate Governance is the system of rules, practices, and processes by which a firm is directed and controlled. It essentially involves balancing the interest of a company’s many stakeholders, such as shareholders, senior management executives, customers, supplier, financiers, the government and the community. It is the structure of rule, practices and processes used to direct and manage a company. Some of the basic principles of Corporate Governance are—Accountability, Transparency, Fairness, Responsibilty, Risk Management. BENEFITS OF CORPORATE GOVERNANCE—Good corporate governance creates transparent rules and controls, provide guidance to leadership, and aligns the interests of shareholder, directors, management and employees. It helps build trust with investors, the community, and public officials.
Corporate Governance Services includes the following :-
- Periodic monitoring through internal audit.
- Independent audit.
- Independent verification.
- Effective Supervision.
- Accountability.
- Sufficient number of Independent directors on the Board.
- Utilization and availment of Input Tax credit in accordance with the GST Rules.
- Formation of an independent audit committee for the board.
- Preparation and filing Returns.
- Adequate disclosure and transparency in reports.
- Participation in board meetings..