Authorized Capital Increase

Legally increase your company's authorized capital to expand business operations or raise funds, with expert filing guidance.

Increasing authorized capital allows your company to issue more shares, raise funds, and expand operations. Proper filing with MCA ensures legal compliance and smooth corporate operations.

What is Authorized Capital Increase?

Authorized capital is the maximum amount of share capital that a company is authorized to issue. An increase requires legal approval via filings with the Ministry of Corporate Affairs.

Who Needs to File?

Companies seeking to expand shareholding capacity, raise funds, or restructure capital must file for an authorized capital increase with MCA.

Filing Process

  • Step 1: Conduct Board & Shareholder meetings to pass resolution for capital increase.
  • Step 2: Alter Memorandum of Association (MOA) to reflect new capital limit.
  • Step 3: File necessary forms (e.g., SH-7) with MCA along with fees.
  • Step 4: Obtain MCA approval and update company records.

Benefits

  • Legal Compliance: Ensures authorized capital matches operational requirements.
  • Fundraising Capability: Enables issuing additional shares for investment.
  • Operational Growth: Supports expansion plans without legal hurdles.
  • Professional Guidance: Avoids delays or errors in MCA approval process.

Authorized Capital Assistance

Need Expert Guidance?

Get professional help for authorized capital increase filing and MCA approval without hassle.

Quick Highlights

  • Increase shareholding capacity legally
  • Compliant with Companies Act, 2013
  • Professional filing assistance
  • Faster MCA approval process
  • Maintain accurate company records

Frequently Asked Questions

Authorized capital is the maximum amount of share capital that a company is legally permitted to issue.

Companies intending to raise funds, issue new shares, or expand business operations can file for an authorized capital increase.

Form SH-7 along with supporting resolutions and updated MOA needs to be filed with MCA.

Typically, MCA approval takes 7-15 working days depending on document accuracy and fee payment.

Yes, professional guidance ensures accurate filings, MCA approval, and compliance with legal requirements.