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 CHG-1 Webform Filing Guide: Complete Instructions for Charge Registration under Companies Act, 2013
Published: 12 August 2026
MCA Extends Companies Compliance Facilitation Scheme 2026 (CCFS-2026) to 31st August 2026
Published: 8 July 2026
Form DIR-12 Complete Guide: Director & KMP Appointment, Cessation & Designation Filing Under Companies Act 2013
Published: 29 June 2026