You need to create a new company in following cases only.
- If you are a first time user of Tally and you have no account in Tally.
- You are creating a new firm and separate accounting is needed.
- Previous company you have created has too many errors and irregularities and beyond rectification.
- If you have to just do accounting in new financial year.
- If you have to activate some extra feature like payroll or excise or any other feature.
What you have to do it is extend the financial period in Gateway of Tally. Press Alt + F2 and enter the period as from 1/4/2007 to 31/3/2009. Your Gateway of Tally would look like this.
Later on when you have finalize the accounts or year 2007-08 you can split the company on 1/4/08 and you would get a new company on which you would get the openings of all ledgers automatically.