Increase in Authorize or Paid Up Share Capital of Company
Process involved in Increasing Authorize Capital
1. Authorization in Article is must for Increase
Company has to make sure that its Articles of Association contain a provision authorising it to increase its authorised share capital.
2. Calling of Board Meeting Issue notice in accordance with the provisions of section 173(3) of the Companies Act, 2013, for convening a meeting of the Board of Directors .
3. To Get in-principal approval of Directors for Increase in authorised share Capital.
4. Fix date, time and place for holding Extra-ordinary General meeting (EGM) to get approval of shareholders, by way of Ordinary Resolution, for amendment in authorised share Capital clause of Memorandum of Association .
5. To authorise the Director or Company Secretary to issue Notice of the Extra-ordinary General meeting (EGM) as approved by the board.
6. Issue Notice of the Extra-ordinary General meeting (EGM) to all Members, Directors and the Auditors of the company in accordance with the provisions of Section 101 of the Companies.
7. Holding of General Meeting: Hold the Extra-ordinary General meeting (EGM) on due date and pass the necessary Ordinary Resolution under section 61(1)(a) of the Companies Act, 2013, for increase in authorize share capital of the Company .
8. Concerned Registrar of Companies (ROC) will check the E-forms and attached documents and will approve the increase in authorize share capital.
File form SH-7 within 30 days of passing of Ordinary Resolution with the concerned Registrar of Companies, with prescribed fees and along with following attachments as desired by section 64
a. Notice of EGM.
b. Certified True copy of Ordinary Resolution.
c. Altered Memorandum of Association.
Process involved in Increasing Paid Up Capital
File form PAS-3 for Allotment of Shares.