Why is the Company Law important for a company?

<p><span aria-haspopup="dialog" aria-expanded="false" aria-controls="radix-:r7:" data-state="closed">Company law is an important aspect of business operations, serving several vital purposes for companies and their stakeholders:</span></p><p><span aria-haspopup="dialog" aria-expanded="false" aria-controls="radix-:r9:" data-state="closed"><strong>Protecting Investors and Shareholders:&nbsp;</strong>Company law protects the rights of a company&rsquo;s fundraisers and shareholders as the law defines the manner in which businesses shall obtain their capital, operate their funds, and prevent any form of the violation of their corporate governance.</span><br><br><span aria-haspopup="dialog" aria-expanded="false" aria-controls="radix-:ra:" data-state="closed"><strong>Promoting Fair Competition: </strong>Company law then ensures measures of fair competition since it encourages good behavior amongst companies and discourages anti-competitive practices.</span><br><br><span aria-haspopup="dialog" aria-expanded="false" aria-controls="radix-:rb:" data-state="closed"><strong>Ensuring Compliance and Accountability: </strong>Company law helps to regulate the legal processes of the companies, besides, it is a system that keeps the companies under check.</span></p><p><span aria-haspopup="dialog" aria-expanded="false" aria-controls="radix-:rb:" data-state="closed">Hope this clears your doubt.</span></p>

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