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339:, have agreed to become members and, in the case of a company that is to have a share capital, to take at least one share each. It is no longer required to state the name of the company, the type of company (such as public limited company or private company limited by shares), the location of its registered office, the objects of the company, and its authorized share capital. Instead, these details appear solely in the
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which cover the company's internal constitution. It contains the fundamental conditions under which the company is allowed to operate. Until recent it had to include the "object clause" which made the shareholders, creditors and those dealing with the company know what is its permitted range of
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Historically, a company's memorandum of association contained an objects clause, which limited its capacity to act. When the first limited companies were incorporated, the objects clause had to be widely drafted so as not to restrict the board of directors in their day to day trading. In the
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The memorandum no longer restricts the activities of a company. Since 1 October 2009, if a company's constitution contains any restrictions on the objects at all, those restrictions will form part of the articles of association.
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It is still a requirement to file a memorandum of association to incorporate a new company, but it contains less information than was required before 1 October 2010. The
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Companies Act 1989, the term "General
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operation, although this was usually drafted very broadly. It also shows the company's initial capital. It is one of the documents required to incorporate a
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during the process of incorporation of a company. It is the document that regulates the company's external affairs, and complements the
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It is basically a statement that the subscribers wish to form a company under the
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406:"Memorandum of association of a company"
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360:See also
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