MEMORANDUM OF ASSOCIATION
It is a fundamental document.the memorandum of association is a document of great importence in relation to proposed company.the fundamental conditions upon which alone the company is allowed to incorporated.
PURPOSE OF MEMORANDUM
The purpose of memorandum is two fold:
the prospective shareholders shall know the field on.or the purpose of which their company is going on used by the companyand what risk they are undertaking in making investment.
the outsiders dealing with the company shall know with certainity as to what the objectives of the company are and as to weather the contractual relation into which they contemplate to enter with company.
PRINTING AND SIGHNING OF MEMORANDUM
the memorandum of association of a company shall be-
a) printed.
b) divided into paragraphs numbered consectively, and
c) sighned by 7(2incase of a private company)subscribers.
Wednesday, August 19, 2009
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