Amendment of Company Objects

The objects clause mentioned in the company’s MOA determines the purpose and scope of activities for which the company operates.

The objects clause mentioned in the company’s MOA determines the purpose and scope of activities for which the company operates. At the time of company registration process, the shareholders decide the objects for which the company is formed. If there are changes to be made to the objects during the course of operations, shareholder approval and MCA approval would be required. In the article, we look at the procedure for changing objects clause of a company.

Procedure for change the Object Clause

Board Meeting: First the board should approve the alteration in the object clause related with Memorandum of the company.
Call EGM: For shareholder approval call the EGM and pass a special resolution for alteration of the object clause.
Agenda: To render support to make notice of EGM all together with Agenda in addition to Explanatory Statement to be suitable as per the notice of General Meeting according to section 102(1) related to the Companies Act, 2013.
EGM: Present Notice of the Extra-ordinary General Meeting (EGM) to all Members, Directors as well as the Auditors of the company in agreement with the provisions as per Section 101 of the Companies Act, 2013.
File the Form: Final forms file to ROC for final approval from MCA file the special resolution passed by shareholders for amendment of Memorandum with the related Registrar of Companies. Changes to MOA objects clause must be filed using form MGT-14 within 30 days of the passing of Special Resolution along with the approved fees and the following attachments
Approval for change: After submission of the forms the ROC will issue certificate for change the object clause successfully.

Documents Required

  • Notice for Board meeting
  • Board Resolutions
  • Minutes of the Board Meeting
  • Notice of EGM
  • Special resolution of EGM
  • MGT 14
  • Approved by Secretary
  • Sanctioned True copy related to Special Resolution
  • Changed Memorandum of Association
  • Authorized True copy of Board Resolution may perhaps be appended a non- obligatory attachment.

Frequently asked questions

Why the Object clauses change the company?

In future the company start the business in new field than first object clause should be change.

Shareholder permission required for change in object clause?

Yes, the special resolution should be pass by shareholder for proposed amendment in object clause.

Central Government approval required?

No, the central Government approval is not required.

What is the object clause of the company?

The object clause of the company described in the MOA of the company.