Understanding Articles of Association (AA)
The Articles of Association (AA) is a vital company document, akin to a user manual for the public. It outlines the company’s introduction, functions, dividend distribution processes, financial auditing protocols, share issuance specifics, and voting rights authority.
Is Article of Association Mandatory?
Regardless of a company’s type, these documents are mandatory, forming part of the essential paperwork during the incorporation process. Prepared by each company to suit its unique circumstances, the Articles of Association encompass crucial details. Mandated information includes the company name, members’ liabilities, a declaration of their commitment in case of liquidation, initial share capital, and types of shares.
Further details delve into the company type, directors’ powers, decisions by directors and members, general meeting organisation, voting procedures, share issuance and transfer, and modifications to share capital. Our Hong Kong law firm offers specialised services, aiding in the meticulous preparation and submission of these mandatory documents.
Memorandum of Understanding and AA
Under the new Companies Ordinance, the Memorandum of Association is no longer required at incorporation. Companies established after March 2014 adhere to new Article of Association models. Existing companies can maintain their current Articles but may modify them through a special resolution. Our Hong Kong lawyers provide expert guidance in drafting or amending Articles of Association, ensuring compliance with mandatory document requirements. For foreign investors seeking insights into remaining in Hong Kong, our dedicated team specialising in Hong Kong immigration offers valuable assistance in visa renewals for business purposes.
