Corporate Governance In The Start-Up – A Significant But Missing Essence Of Business – With Referenc

Corporate Governance In The Start-Up – A Significant But Missing Essence Of Business – With Reference To Recent Case Studies

Arun Nachiappan, BBA.LLB, Symbiosis Law School, Pune

ABSTRACT

The start-ups in India have been constantly increasing and emerging, which indicates the fact that it has been encouraged by the society and the government for betterment of the economy of our nation. However, it is also significant to make note that there are various issues that arise in start-ups governance, especially in terms of violation of company law mandates, which is evident from various case studies. Therefore, it is significant to address the problem of issues of corporate governance in start-ups as quick as possible. Against this backdrop, this paper intends to firstly, understand the frame-work of start-up governance and whether it is a cause of internal conflicts due to overlapping roles and secondly, to understand whether the boards of the start-ups fail to monitor the conduct of the founders and CEOs effectively along with certain case studies as examples. Finally, after recognising the problems that exists, this paper intends to make certain recommendations that ensures compliance of principles of corporate governance.