Increase in Authorized Capital

Shares in a company are issued up to the value of the authorized capital registered at the time of incorporation. There are options to increase this capital with the shareholders’ approval in an EGM. The process of filing this with ROC is now completely online by paying a fee and stamp duty. Please visit the MCA portal for the latest fee and duty amounts.

You must amend the MOA & AOA on completion of this change. Our expert team can support you in this online process.

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    Approval from the Board of Directors

    Hold a Board Meeting and get approval for the increase from the Board of Directors.

    Extraordinary General Meeting

    Get approval from the shareholders in the EGM. The company directors must send a notice to the shareholders 21 days before the meeting date. The notice should mention the agenda and the proposed change to be passed as a special resolution.

    Submission of Form MGT-14

    The special resolution needs approval of 75% of the shareholders; which is then filed with ROC. The resolution copy must be certified and attached with the Form MGT-14 along with the copies of the amended MOA and the MoM of EGM. This incurs a fee and must be filed within 30 days of passing of the resolution.

    Submission of Form SH-7

    Once the shareholders have approved the special resolution, an authorized director must file application SH-7 with the ROC along with the copy of amended MOA & AOA, and the special resolution. The increase in authorized capital comes into effect once the application is approved.