10 December 2013
sir please clarify my doubt regarding payment of interest on share application money in private limited company is mandatory or it is according to articles of association and please mention the relevant section.
19 July 2025
No, it is not mandatory to pay interest on share application money in a private limited company, unless:
The Articles of Association (AoA) specifically provide for such payment, or There is an express agreement or arrangement between the company and the applicant.