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Increase in Paid-up Capital

Startup @ Rs. 15000 + Govt fees

Increase In Paid-up Capital

Healthy paid up share capital reflects corporate brand and Image of any company. Issuing of Share is a major source of funding for the companies.

There can be various reasons for Increase in Paid-up Share Capital of the company such as, company may require working capital for the purpose of diversifying or expanding its Business activities.In some cases to avail overdraft facility from bank, the company are required to Increase its capital to maintain Debt: Equity ratio.

Shares can be issued by the company by way of:

  1. Right Issue, if shares are allotted to the existing shareholder only. (Read our Article on Right issue on Knowledge Zone)
  2. By way of Private Placement, if shares are allotted to selected group of person.
  3. By way of public offer, if shares are issued to the public at large.

Common Questions


Authorised share capital means that maximum amount of money which company can raise through share capital. It is also known as nominal capital.

No, a company can be incorporated without Authorise share capital.

A company can appoint maximum fifteen Directors. However by passing special resolution a company may appoint more than fifteen directors.

No, Paid-up Share Capital can be equal or less than the authorised share capital but cannot be more than authorised share capital.

Why Empressa Legal


Professional Team:

Our team includes Company Secretaries, Chartered Accountants, Cost Accountants, and advocates who gives high quality of work. They are excel in the area of our work. Our teams intent to answer all your questions, doubt before you choose any services, they will explain all the options available to you. Read More...

Documents/Information Required

1. Articles of association (AOA)

2. List of Existing shareholders.

3. Details of proposed shareholder

4. Proposed Paid up share capital.

5. Other documents, if required.

Timeline

Once we receive the order, our team will contact you for the required documents and Information. After receiving the documents/Information, we will prepare necessary papers and will send you for signing. Once we receive all the required signed documents, it takes 1-2 working days for increasing Paid-up share capital of the company.