Increase in Authorized Share Capital
Need to issue more shares than your current authorized capital allows? Leegal prepares the resolutions and ROC filings to increase it.
Why Increase Authorized Capital?
Authorized capital is the maximum share capital a company is permitted to issue, as stated in its Memorandum of Association. Paid-up capital (what's actually issued) can never exceed this limit.
Companies raising fresh funding, bringing in new investors, or issuing more shares to existing shareholders often need to increase their authorized capital first if the current limit is insufficient.
| Authorized Capital | Paid-Up Capital |
|---|---|
| Maximum limit a company can issue shares up to | Actual capital issued and held by shareholders |
| Stated in the Memorandum of Association | Reflected in the company's balance sheet |
| Increased via shareholder resolution and ROC filing | Increased by actually issuing new shares, within the authorized limit |
| Attracts additional ROC fee on increase | No separate fee just for holding paid-up capital |
Documents Required
Keep these ready before your consultation to speed up filing.
- Existing Memorandum of Association
- Board resolution proposing the increase
- Ordinary resolution passed by shareholders
- Altered Memorandum of Association reflecting the new capital
- Digital Signature Certificate of an authorised signatory
- Details of the proposed new authorized capital amount
How It Works
Free Consultation
We confirm the target authorized capital and reason for the increase.
Resolution Drafting
We prepare the board and shareholder resolutions required.
MOA Alteration
We draft the altered Memorandum reflecting the new capital.
ROC Filing
We file the increase with the Registrar of Companies and confirm approval.
Capital Increase Filing
End-to-end resolutions and ROC filing to raise your authorized capital.
MOA Alteration
Updating your Memorandum of Association to reflect the new limit.
Funding Round Support
Coordinating capital increases alongside new investment rounds.
Why File Through Leegal
- Experienced team that times the filing around your funding needs.
- Clear, upfront pricing with no hidden charges.
- One dedicated point of contact throughout the process.
- Support coordinating with share allotment once approved.
Talk to Our Team
GS006, Vikash Nagar, Ramgarh Cantt, Jharkhand 829122, India
Frequently Asked Questions
What's the difference between authorized and paid-up capital?
Authorized capital is the maximum limit set in your Memorandum, while paid-up capital is what's actually been issued to shareholders — paid-up can never exceed authorized.
Do I need to increase authorized capital before every new funding round?
Only if the new shares to be issued would take your paid-up capital beyond the current authorized limit.
Is there a fee for increasing authorized capital?
Yes, an additional ROC fee applies based on the increased amount, which we account for in your filing plan.
How long does the process take?
It depends on how quickly resolutions are passed and documentation is finalised; the ROC filing itself is generally processed promptly once submitted correctly.
Can Leegal help with the share allotment after the capital increase?
Yes, we can support the subsequent share allotment filing once your authorized capital has been increased.
Need to Increase Your Authorized Capital?
Talk to our team and get a clear plan for your resolutions and filing — no obligation.