MCA1 min read
Authorised Capital
The maximum amount of share capital that a company is authorised to issue as stated in its Memorandum of Association. Also called nominal or registered capital. Can be increased by ordinary resolution and ROC filing.
Last updated: 17 May 2026
Frequently Asked Questions (FAQs)🔗
Q1. What is Authorised Capital in Indian corporate law?▼
The maximum amount of share capital that a company is authorised to issue as stated in its Memorandum of Association. Also called nominal or registered capital. Can be increased by ordinary resolution and ROC filing.
Q2. Why is Authorised Capital important for compliance?▼
Authorised Capital is governed by the Ministry of Corporate Affairs under the Companies Act, 2013. Understanding this concept is essential for ensuring regulatory compliance, avoiding penalties, and making informed corporate decisions in India.
Q3. Who should know about Authorised Capital?▼
Authorised Capital is relevant for company secretaries, compliance officers, chartered accountants, corporate lawyers, board members, and all professionals dealing with MCA regulatory matters in India.
Contextual Analysis & Regulatory Updates🔗
Read our latest analysis and critical updates on corporate circulars related to MCA:
MCA Advisory: Beware of High-Return Promises by Non-Compliant Nidhi Companies (September 2026)
Published: 25 September 2026
AOC-4 Filing for OPCs: FY 2025-26 Deadline Is 27 September 2026 — Complete Filing & Penalty Guide
Published: 24 September 2026
Form MGT-7 and MGT-7A: The Complete Annual Return Guide — Due Dates, Filing Process on MCA V3, Fees, Penalties and 2026 Updates
Published: 16 September 2026