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Business Setup

Increase Authorised Capital of a Company

Planning to issue new shares or bring in an investor? We increase authorised capital for your company with the right resolutions and Form SH-7.

  • 3–5 working days
  • Resolutions drafted
  • Altered MOA
  • SH-7 filing
Increase Authorised Capital of a Company

What is authorised capital?

Authorised capital is the maximum share capital a company may issue, as stated in its MOA. A company cannot issue shares beyond it – so before allotting shares to founders, investors or employees (for example under an ESOP), it often needs to increase authorised capital first.

The process

  1. Board meeting to approve the increase and call a general meeting.
  2. Shareholder resolution at a general meeting, as required by the company’s articles.
  3. Altered MOA with the new capital clause.
  4. Form SH-7 filed with the ROC within 30 days, with the ROC fee and stamp duty on the increase.

Our service

We draft the notices, resolutions and altered MOA and file SH-7. Allotting shares after the increase? We can also help with the share allotment filings and a valuation report where needed.

Checklist

Documents required for Increase Authorised Capital

After you purchase, log in to My Account → My Services and upload each document below. Scanned copies or clear phone photos (PDF, JPG or PNG) are fine. Your files are stored privately and seen only by your assigned expert.

  • Certificate of incorporation, MOA and AOA Current versions Required
  • Current and proposed authorised capital Amount of the increase Required
  • DSC of an authorised director To sign the MCA forms; we can arrange one if needed Required
  • Board / shareholder resolutions We draft these for signature If applicable
Step by step

Increase Authorised Capital process with Nevo Legal

  1. Plan

    Confirm the new authorised capital amount.

  2. Resolutions

    Board and shareholder resolutions drafted.

  3. Filing

    SH-7 filed with the altered MOA.

  4. Records

    MCA master data updated with the new capital.

Deliverables

What you get

  • Board and shareholder resolutions
  • Altered MOA
  • Filed Form SH-7 with challan
FAQs

Increase Authorised Capital – frequently asked questions

Is increasing authorised capital the same as issuing shares?

No. It only raises the limit. Shares are issued separately through an allotment.

What does it cost in government fees?

An ROC fee based on the increase plus state stamp duty, both payable at actuals.

What is the deadline for SH-7?

Within 30 days of the shareholders’ resolution.

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