The Company enjoys ‘separate legal entity’ from that of its promoters, investors and directors. It can thus raise and invest capital in its own name. It has its own PAN Card. It can sue and be sued in its own name.

A Company uses both kind of capital: Owned capital and Borrowed capital for its business (especially long-term projects). Banks and various State Financial/Industrial Investment Corporations, while granting loans to companies invariably obtain a status report on the position of borrowings made by the Company and the particulars of charges already created by the company on its assets. Government Authorities like Income Tax, GST, RBI, SEBI can also ask for the Search Report to know the present status of the company and various other financials filed by the company to the concerned Registrar of Companies.

Thus, widely, 2 kinds of Search & Status can be undertaken by a Company.

A. Search & Status Report on the security that has been created on the assets of the Company and the amounts already raised from the market, which is not the owner's fund.

B. A comprehensive Search & Status Report which along with covering the Report as mentioned in point A above, also covers other information of the Company- Directors, KMP, shareholding pattern, Capital structure, Compliance position related to various authorities and any other matter that a particular institution is looking for.