Article of Association (AOA) of Indian Company |
Article of Association of any company is regulations for its internal management. It does not define relationship of company with outsiders. In Fact, It describes how company would manage its affairs and how it would function. Article of Association along with Memorandum of Association of Company form “Constitution of the Company”.
What is Article of Association?
The article of is a document that specifies the regulations for internal management and operations of the company. The articles of association defines the company’s motives and lays down how tasks will be accomplished within the company, including the process for appointment of directors, how will shares be issued, re-issued, bought back, and how the company could be wound up in the future.
Contents of Article of Association of Indian Company:
Article of Association of company describes rules and regulations for internal management of the company. It contains details of how directors can be appointed, re-appointed and removed, how shares can be issued, re-issued and bought back etc.
Article of Association contains details about mainly:
- Share capital including sub division thereof, rights of various shareholders, payment of commission, share certificates
- Lien of shares
- Calls on shares
- Transfer of shares
- Transmission of shares
- Forfeiture of shares
- Surrender of shares
- Conversion of shares into stock
- Share warrant
- Alteration of capital
- General meetings and proceedings thereat
- Voting rights of members, voting by poll, proxies
- Directors, including first directors, their appointment, remuneration, qualifications as well as powers and proceedings of Board of directors’ meetings
- Dividends and Reserves
- Accounts and Audits
- Borrowing Powers
- Winding up- Voluntary or Mandatory Winding Up
Thus, we can see that in article of association of a company, detailed procedures, rules and regulations are mentioned for internal management of the company.
For your convenience, we have given below format of Article of Association of Indian Company. You can download it for your usages.
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