Debenture is a document issued by a company as an evidence of its debt. It is a security issued or allotted to the investors under the seal of the company. it also contains a contract for the repayment of a debt and the interest thereon at a specified time.
Thus, the debenture simply means any securities, excluding shares, issued by the company against the amount received by it. Such securities may or may not constitute a charge on the assets of the company.
When you have incorporated a limited company, you have certain new legal obligations. These obligations are created the moment company is incorporated. Because the limited company is a legal entity, new legal rights and obligations would arise at the moment of its incorporation. However, these obligations and right will be limited by the liability of the company. For unlimited liability companies, these liability for these newly created obligations will also be unlimited.
The limited companies have to maintain accounts as part of their newly created obligations. Moreover, the company should file these accounts with the Companies House. These accounts are filed after every accounting more...