Increase In Authorised Capital


The authorized capital of a Company determines the number of shares a Company can issue to its shareholders. An increase in authorized capital might be required for issuing new shares and/or inducting more capital into the Company. The initial authorized capital of the Company is mentioned in the Memorandum of Association of the Company and is usually Rs. 1 lakh. The authorized capital can be increased by the company at anytime with shareholders approval and by paying additional fee to the Registrar of Companies.

To begin the process for increasing authorized capital a resolution must be passed by the Board of Directors. In the Board Resolution, authorization must be provided for increasing the authorized capital of the company and making the necessary changes to the MOA and AOA of the company.

The Paid up Capital can increase by the company at any time with approval of Board of Directors and by paying stamp duty as applicable. To increase paid up capital, Company will issue fresh shares to existing or new shareholders.

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How we help with Authorized Capital?

KK Startup India can assist you to boost your company's authorized assets.

  • - Advisory

    A business expert will review the current and suggested modifications in authorized capital and the Articles of Association to know the company's history before starting the process. The evaluation would take 1 to 2 working days.

  • - Board Resolutions

    After you get an idea of the processes engaged in raising the authorized capital, our professionals will draft the required board resolutions for the procedure.

  • - Filing

    When the board resolutions are adopted, our specialists will prepare and submit the desired records to the Ministry of Corporate Affairs.

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