Memorandum of Associations (MOA)
It lays the basic objectives of the company being formed. It contains the rights, privileges and powers of the company and therefore is called the CHARTER OF THE COMPANY. MOA is available to the public and describes the company’s name, physical address of registered office, names of shareholders and the distribution of shares.
The following clauses are contained in the MOA.
- Name clause: if the company is public limited, it must contain the word LIMITED at the end of the name. If it is a private limited company, the name should end with PRIVATE LIMITED.
- Registered office clause: in case of change of address of office, the memorandum shall be changed accordingly.
- Capital clause: maximum amount of capital that can be raised by the company. It also contains the division of capital into shares.
- Objective clause: it specifies the nature of business the company will conduct. Also all business types which the company may possibly deal in the future.
- Liability clause: it defines how much liability is upon a particular member.
- Association clause: contains the names and addresses of the members of the company.
Time to draft MOA
Drafting depends on the CA. Registration takes 3-4 working days time.
Cost of drafting MOA
Drafting charges differ with different CA. Cost of registration is not taken separately but included in the whole package.