Authorized Capital is the amount of capital with which company is registered with Registrar of Companies. It is the maximum amount of capital up to which a company can raise fund through the issue of share. Companies generally are registered with small authorized capital and increase it eventually as per need.
Authorized capital can be increased, only if it is authorized by Article of Association and after passing an ordinary resolution in the meeting of members. (If increase is not authorized by AOA, appropriate steps to alter the Article and include the clause is taken)
Authorized capital is the upper limit up to which a company a can raise fund from public. In order to raise fund from public, you need to increase the authorized share capital of your company.
Check whether AOA of the company authorizes it to increase the Authorized Capital or not. If AOA is not authorized you need to amend AOA by passing Special Resolution.
Hold a board meeting and pass a resolution to increase the authorized capital of the company and decide day, date, time and place for Extra-Ordinary General Meeting. Issue notice to every member/shareholder, director, auditor of the company specifying day, date, time, place and agenda of the meeting.
Convene, hold and conduct EGM on the date place and time specified, and pass a resolution to take approval from shareholders. File specified form if any, within a specified period.
Alter Memorandum of Association of the company to increase the authorized share capital of the company.
File form SH-7 with Registrar of Companies within 30 days of passing shareholders’ resolution. Also, file form MGT-14 within 30 days of the passing of the resolution, if the resolution is passed as Special Resolution.
Swarit Advisors Working Steps
Share your Contact Details and receive free consultation.
Make Online or Offline Payment for your Order.
Submit Documents for your Order Using Online Dashboard.
Work will be completed by us and updates delivered Online.
Swarit Advisors has amazed me with outstanding service and support during our NBFC Business set-up. In my 10 years of corporate experience, I have not seen such a proficient establishment. Keep the energy up team Swarit Advisors.
Excellent service! They helped me to incorporate my new company. Also, they gave great response and was ready to solve all my queries. I will definitely recommend this firm to my friends.
Excellent customer service. They are Auditor for Last 10 years. We found a team as energetic and mad for the customer. They are available even in late hours. you can call them to meet they never ask you to pay. they deliver a high level of consulting services. As well they work like partners. they advise us on each business decisions. I highly recommend Swarit advisors to my friends, partners and associates.
Our Valuable Clients
Subscribe for our Newsletter