What happens when there is a change of ownership of a registered firm?

When there is a change in ownership of a registered firm, a new registration certificate is typically issued with a new number. This process is essential because the registration reflects the current status of ownership and ensures that the regulatory records are up-to-date. The issuance of a new certificate verifies that the new owner is legally recognized and authorized to operate under that business structure.

Maintaining accurate and current registration is crucial for compliance with legal and regulatory agencies. This change does not necessitate cessation of operations as it involves a transfer of ownership rather than the dissolution of the firm. Additionally, while transferring ownership, the previously registered entity can continue to exist, meaning it is not necessary to create a new firm from scratch. Thus, updating the registration status with a new certificate is an efficient way to reflect the change in ownership while maintaining operational continuity.