LIVE GST Certification Course by CA Arun Chhajer begins 27th April. Register Now!!

Change of Company Name

Pradeep Syan (Sr. Manager (Finance & Corp. Affairs)) (16 Points)

22 March 2011

Hi All,

We want to change the name of a pvt ltd company by inserting the word "enterprise". At present the company has Auth. capital of 1 lakh and as per companies act the companies having the word "enterprise" must have Rs. 10 lakhs capital. My queries are

1. Is it necessary to apply Form 1 A for availability of name in this case?

2. Whether the increase in auth. capital required before filing the Form 1A?

Please share your views.

regards

Pradeep

s per companies act the mia per comapny's companies

Reply
Follow
Share

9 Replies

Jaideep (Service) (1368 Points)
Replied 23 March 2011

Hi Pradeep,

For inserting name enterprise, form 1A is necessary.

As per Compniaes Act, 1956 for inserting word enterprise required autorised capital is Rs. 50 Lacs.

Increase in authorised capital is required before filing of form1A. You can pass all the resolution in one EGM following chronologically...

Regards

Jaideep Pandya

Shridhi Jain (Company Secretary) (1678 Points)
Replied 23 March 2011

Hi Jaideep,

Thanks for your views.

But can it be possible that first form 1A is filed so as to check whether the desired name will be available or not and then increase the capital accordingly? Because increase in Auth. cap. will not be useful if later on one get to know that the desired name, for which the capital is increased, will not be available.

Jaideep (Service) (1368 Points)
Replied 23 March 2011

Hi Shridhi

Appreciate your concern and suggestions,

however going after incresing capital will have some sort of comfortability for MCA that company has taken steps, if desired name is not avialable, I assume that compnay is not going to stop, compnay can use other choces available such as venture, business etc................ In any case, compnay has to increase authorised capital.

Also, MCA is providing facility for name check...

Regards

Jaideep Pandya

Sudhir Garg (Service) (236 Points)
Replied 23 March 2011

I agree with Shridhi

You may file the Form IA alongwith the undertaking to increase the Authorised Capital once name is approved.

Regards- Sudhir

Sudhir Garg (Service) (236 Points)
Replied 23 March 2011

I agree with Shridhi

You may file the Form IA alongwith the undertaking to increase the Authorised Capital once name is approved.

Regards- Sudhir

DIVYA PINCHA (ASSISTANT MANAGER:MERCHANT BANKING) (537 Points)
Replied 23 March 2011

Though holding subsidiary relationship doesnt exist, but they are associates now. i suppose..in dat case any further requirements need to be fulfilled considering AS 18?

CS MOHIT SALUJA (PRACTICING CS Jalandhar 9914558709) (5155 Points)
Replied 23 March 2011

yes you will have to file form 1A for changing the name of your company. Form 1A is to be filed to get approval of ROC that the name is available or not and you can move with this name. And now for word "Enterprise" the capital requirement is Rs. 50 Lakhs. So there is need to increase the capital in this regard, because when you will be filing form 1A, the form will not be uploaded and there will be an error that the requisite capital of Rs. 50 lakh is required. so you can not upload unless and otherwise the capital is 50 lakh.

Vikash Kharvar (Dy. Manager -F&A) (469 Points)
Replied 23 March 2011

Very nice post.........

Pradeep Syan (Sr. Manager (Finance & Corp. Affairs)) (16 Points)
Replied 24 March 2011

Thanks to all for your valuable suggestions.

Mr. Saluja, can you please update me with the circular/notification requiring the minimum capital requirement of 50 Lakhs in case of word "enterprise" becoz i have checked the name guidelines on MCA website and its still showing Rs. 10 Lakhs.

regards

Pradeep Syan