Q: Explain prospectus under companies act, 2013 ?

Ans: According to section 2(70) of Company's Act 2013, Prospectus can be defined as "any document which is described or issued as a Prospectus" and also any notice, circular, advertisement or any other document acting as an invitation to offers from the public.

A prospectus is a notice, advertisement or any other document inviting the public to subscribe for securities. It is compulsory for public limited companies to issue a prospectus before issuing securities.