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CHANGE COMPANY OBJECT with Auriga Accounting
Auriga Accounting has a team of registration experts who can provide complete guidance to CHANGE COMPANY OBJECT.
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Changed Your CHANGE COMPANY OBJECT
Auriga Accounting has a team of registration experts who can provide complete guidance to CHANGE COMPANY OBJECT.
Our team of experts will get in touch with you and collect all necessary documents and details
We fill out and file your application for registration
Changed Your CHANGE COMPANY OBJECT
As your company progresses and undergoes changes, it is natural to explore new directions that may not have been initially anticipated. When modifying the goals and objectives of your business, it is important to formalize these changes by amending the memorandum of association (MoA) and completing other necessary formalities.
Auriga Accounting offers a convenient service that simplifies this entire process, facilitating a smooth transition into a new phase for your business. With their assistance, you can navigate the required procedures and ensure that your company’s MoA accurately reflects its updated objectives, enabling you to move forward with confidence.
Why Change Business Objectives?
Company Acquisition: When another company acquires your business, significant changes occur. While the original branding may be retained, it is common for the direction and vision of the company to undergo alterations.
Streamlining Activities: Over time, certain activities within the company may become redundant or inconsequential. In such instances, these activities are gradually phased out, prompting the need to revise the company’s objectives accordingly.
Adapting to Regulatory Changes: Government policies and regulations are subject to change, and certain activities that were legal at the outset of the business might be rendered illegal or restricted. To avoid legal repercussions, it is imperative for your company to cease engaging in such activities and amend its objectives accordingly.
The eligibility for changing the objects stated in the Memorandum of Association (MoA) can depend on various factors, including the jurisdiction and the company’s specific circumstances. However, in general, the eligibility for object change in the MoA may involve the following considerations:
Shareholder Approval: Generally, changing the objects in the MoA requires the approval of the company’s shareholders. The specific threshold for approval, such as a special resolution or a certain percentage of shareholder votes, may be outlined in the company’s articles of association or relevant laws.
Compliance with Laws and Regulations: The proposed object change should comply with the applicable laws, regulations, and any restrictions imposed by the regulatory authorities governing the company’s activities. Certain industries or sectors may have specific requirements or licenses that need to be considered before changing the objects.
Board of Directors’ Approval: In addition to shareholder approval, the object change may require the approval of the company’s board of directors. The board should assess the proposed change, evaluate its implications, and ensure that it aligns with the company’s strategic goals and legal obligations.
Legal and Professional Advice: It is advisable to seek legal and professional advice when considering an object change in the MoA. Legal professionals can guide you through the process, ensuring compliance with the relevant laws and regulations, and help draft the necessary resolutions, documents, and filings.
Compliance with Memorandum and Articles of Association: The object change should adhere to the provisions outlined in the company’s existing MoA and articles of association. Reviewing these documents will provide insight into any specific requirements or procedures for changing the objects.
Shareholder Agreement or Voting Rights: If the company has a shareholder agreement in place or specific provisions regarding voting rights, those agreements or provisions may impact the eligibility and process for object change. Reviewing and adhering to these agreements is crucial.
Changing the objects stated in the Memorandum of Association (MoA) of a company can offer several advantages and opportunities. Here are some potential advantages of object change:
Business Adaptability: Object change allows a company to adapt to changing market conditions, industry trends, and emerging opportunities. It enables the company to modify its stated objectives to align with its evolving business strategies and goals.
Diversification and Expansion: Object change provides the opportunity for diversification and expansion into new areas of business. By expanding the scope of activities, a company can explore new markets, introduce new products or services, and tap into different revenue streams.
Competitive Advantage: Changing the objects can enable a company to gain a competitive edge by entering new markets or offering innovative products or services. It allows the company to differentiate itself from competitors and explore untapped opportunities.
Attracting Investment: Object change may attract potential investors who are interested in the new areas of business or industry that the company intends to pursue. Expanding the objects can demonstrate the company’s willingness to explore growth avenues and can enhance its appeal to investors and stakeholders.
Strategic Alliances and Partnerships: Object change can open doors for strategic alliances, partnerships, or joint ventures with other companies operating in the newly targeted areas. Collaborations can bring synergies, shared resources, and access to new markets, enhancing the overall growth prospects of the company.
Future-Proofing the Business: By adjusting the objects, a company can future-proof its operations by incorporating emerging technologies, evolving customer demands, and industry developments. It enables the company to remain relevant and agile in a dynamic business environment.
Regulatory Compliance: Object change ensures that the company’s stated objectives are aligned with its actual business activities. This can enhance regulatory compliance and minimize the risk of non-compliance with legal and regulatory requirements.
Enhanced Corporate Image: Adapting the objects to reflect the company’s current and future endeavors can enhance its corporate image. It showcases the company’s commitment to growth, innovation, and staying relevant in the market.
The Memorandum of Association (MOA) outlines the two primary objectives of a company:
To effect changes to these company objectives, the following five steps need to be followed:
Step 1: Board Resolution Hold a board meeting where a resolution is passed to authorize the necessary changes in the company’s name and objectives. A designated director or company secretary should be authorized to sign, certify, and file the required forms with the Registrar of Companies (RoC). Furthermore, a date, time, and location for an Extraordinary General Meeting (EGM) of members should be set.
Step 2: Special Resolution in EGM Conduct the EGM, where members pass a special resolution. Members are provided with notice, including mandatory information, and their response to the special resolution is obtained. Once the notice is circulated, the resolution is passed.
Step 3: File Form MGT-14 with ROC Submit Form MGT-14, along with necessary documents, to the ROC. The company and its director(s) file this form to process further changes.
Step 4: Issuance of Fresh Certificate of Incorporation If the change in objectives necessitates a modification of the industry code, the ROC will issue a new certificate of incorporation reflecting the updated information.
Step 5: Incorporation of the MOA Object Clauses After the ROC issues the new certificate of incorporation, the company must ensure that the object clauses in all copies of the MoA are updated to reflect the changes.
There are several compelling reasons to choose Auriga Accounting for changing the objects of your company:
Expert Guidance: The team at Auriga Accounting will provide expert guidance in determining the appropriate additions to the main and ancillary objectives of your company. They will assist you in making informed decisions to align your objectives with your business goals.
Drafting Resolutions and Filing Forms: Auriga Accounting takes care of the entire documentation process for you. They will draft the necessary resolutions and ensure that all required forms are filled out accurately and filed on your behalf.
Amendments to Memorandum of Association (MoA): With their knowledge and expertise, Auriga Accounting will accurately incorporate the required amendments into your MoA. This ensures that the changes are properly reflected and compliant with legal requirements.
Comprehensive Support: Auriga Accounting is committed to providing the best support to their clients. They will address all your queries and concerns throughout the entire process, offering clear and timely guidance.
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