Official Articles of Incorporation are mandatory documents required when establishing a company in India under the Companies Act 2013. They serve as the company's constitutional document, detailing how the organization will be governed and managed. This document is essential during the company registration process and must be filed with the Registrar of Companies. It contains crucial information about share capital structure, shareholders' rights, board composition, meeting procedures, and other governance matters. The Articles must comply with Indian corporate law while being tailored to the specific needs of the company. They become legally binding once registered and can only be amended through special resolution, making them fundamental to the company's legal existence and ongoing operations.
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1. Name Clause: Specifies the proposed name of the company that has been approved by the Registrar of Companies
2. Registered Office Clause: States the state in which the registered office of the company will be situated
3. Objects Clause: Details the main objects, ancillary objects, and other objects of the company
4. Liability Clause: Declares whether liability of members is limited or unlimited, and if limited, whether by shares or guarantee
5. Capital Clause: States the authorized share capital of the company and its division into shares of fixed amount
6. Association Clause: Declaration of association by the subscribers to form the company
7. Definitions and Interpretation: Defines key terms used throughout the Articles and establishes rules of interpretation
8. Share Capital and Variation of Rights: Details regarding types of shares, share certificates, transfer and transmission of shares
9. Board of Directors: Provisions regarding appointment, removal, powers, and duties of directors
10. General Meetings: Rules for conducting shareholders meetings, voting rights, and proceedings
11. Management: Provisions for company management, including appointment of key managerial personnel
1. Preference Shares: Include when the company plans to issue preference shares, detailing their rights and restrictions
2. Foreign Ownership: Required when the company plans to have foreign shareholders or foreign direct investment
3. Joint Ventures: Include when the company is being formed as a joint venture, specifying special rights and obligations
4. Restrictive Covenants: Optional provisions restricting transfer of shares, particularly useful for private companies
5. Special Rights: Include when certain shareholders are to be given special voting or other rights
6. Corporate Social Responsibility: Required for companies meeting certain financial thresholds as per Companies Act
7. Employee Stock Options: Include if the company plans to offer stock options to employees
1. Schedule I - Subscribers: Details of initial subscribers including their names, addresses, occupation, and number of shares subscribed
2. Schedule II - Initial Directors: List of first directors of the company with their DIN and contact details
3. Schedule III - Share Capital Structure: Detailed breakdown of authorized capital into different classes of shares
4. Schedule IV - Initial Contracts: Details of any pre-incorporation contracts or agreements
5. Schedule V - Forms of Share Certificates: Specimens of share certificates to be issued by the company
6. Appendix A - Board Resolution Templates: Standard formats for common board resolutions
7. Appendix B - General Meeting Templates: Standard formats for notices and minutes of general meetings
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Relevant Teams
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Executive Leadership
Finance
Risk Management
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Company Secretary
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