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Abstract
When any entrepreneur wants to set up in the form of company, he has to put funds from his pocket. But there is no sufficient growth. Even if he taken loan from the banks, he might could not repay the loan. So, company comes to public to raise funds; through prospectus invite public to invest money in securities with assurance in some return. They expect to use these funds in proper way to expand business and make profit for the company. Thus, Stock exchange is an organization which plays the role of intermediaries between company and investor to raise funds for the benefit of company as well as investor. It provides employment opportunities and also results to boost economy[1].