Bebanturs ,Kinds of Debantures :
Bebanturs = debantures is the source of obtaining long term finance for a company . As per section 2(12) of the companies act 1956 debantures has been defined as" debantures includes debantures stock, bonds,and any other security of company, weather constitut a charge on the assets of the company or not.
Kinds of Debantures :
Simple debantures : they do not have any security. But mortgage debantures are secured debantures and have charge on the property of the company.
Redeemable debantures : these debantures are redeemable after 5 to 7 years. Taken against perpetual debantures.
Bearer debantures: Delivered by only delivery. The name of bearer debantures holder are not recorded in the book of the company. Transferable only by the company.
Convertible debantures : convertible are converted into shares after sometimes.
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