INCORPORATION  OF A COMPANY   
The process for incorporating a company can be divided into Three principal stages:
1. Promotion
2. Incorporation or Registration of a Company;
3. Capital Subscription and Commencement of Business.
 1. Promotion
It is the first stage of the company’s incorporation. A person or a group of persons agree to start  business in the form of a company. These persons are called Promoters.
2. Incorporation or Registration of a Company
A company is incorporated following the procedure prescribed in the Companies Act, 2013.
The promoters after getting the name of the proposed company approved from the Registrar of Companies submit Memorandum of Association, Articles of Association, consent of first directors to act as directors and a declaration that the requirements of the Companies Act have been complied with. The Registrar of Companies.
thereafter, issues Certificate of Incorporation, if he is satisfied that the requirements of the Companies Act, 2013 have been complied with.
The Company, thereafter, comes into existence .
3. Capital Subscription and Commencement of Business
A company has to obtain ‘Commencement of Business’ certificate within 180, days of its incorporation. A company has to submit a declaration to the effect that every subscriber to the Memorandum of Association has paid the value of the shares agreed to be taken by him .
What Do You Mean By Prospectus  ?
A public company issues a document called ‘Prospectus’ in which terms and conditions of the issue are stated along with the purpose for which the proceeds of the issue of securities shall be used. “Prospectus” means any document described or issued as a prospectus and includes a red herring prospectus or shelf prospectus or any notice, circular, advertisement or other document inviting offers from the public for the subscription or purchase of any securities of a body corporate .
What Do You Mean By Preliminary Expenses ?
Preliminary Expenses are the expenses incurred for incorporating the company, such as -; registration fee, legal expenses, public issue expenses, etc.
These expenses may be written off either from Securities Premium Reserve or from the Statement of Profit and Loss in the year they are incurred.