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Learn the Difference Between MOA and AOA

difference between moa and aoa
Admin 2023-02-02

It is very important to know about the difference between MOA and AOA. MOA and AOA are the two main documents and important documents of the company. MOA stands for Memorandum of Association and AOA contains an Article Of Association.  An MOA is a legal document. 

That every company must file during registration MOA stand’s for memorandum of association and AOA contains the objective of incorporation. It establishes the rights of the company and the condition under which it operates. It is a manual that contains all the rules and regulations for the company’s interaction with the outside world.

A memorandum of association acts as a charter that defines the scope and limits of a company, and an article of association acts as a legal document that lays down the rules related to the management of the company. A memorandum helps define the company's relationship with its members and the rights those members have. In this article we will get to know about the difference of MOA and AOA.

Difference Between MOA and AOA Companies Act, 2013 :

Here you will find about the relevant pointers about MOA & AOA are as follows:

Memorandum of Association

A Memorandum of Association is a document that contains all the basic information required for setting up a company.

Articles of Association

Articles of Association are a document that contains all the rules and regulations governing the company.

  • Type of Information contained

MOA: Memorandum of Association contains the Rights and objects of the company.

AOA: Article of Association contains Companies Rules and Regulations.

It is necessary  to getting know about the difference between MOA and AOA

  • Status

Memorandum and Article of Association subject to the Companies Act 2013.

MOA: Memorandum of Association It is subject to the Companies Act.

AOA: Article of Association is subject to recall.

  • Retrospective Effect

Difference between MOA and AOA the Retrospective effect.

MOA: A company's memorandum of association cannot be amended retrospectively.

AOA: Articles of Association can be amended retrospectively.

  • Main content

MOA: Memorandum of Association’s statement must contain six clauses.

AOA: Articles of Association can be drafted as per the company's preference.

  • Obligatory

MOA: Memorandum of Association is obligatory for all companies.

AOA: Only a private company is required to prepare its articles while a public company limited by shares can adopt Table F instead of articles.

Mandatory filing at the time of registration

Difference between MOA and AOA of filing:

MOA: Memorandum of Association is Required

AOA: Article of Association Not necessary at all.

Alteration

MOA: A change can be made after passing a Special Resolution (SR) in the Annual General Meeting (AGM) and requiring the prior approval of the Central Government (CG) or the Company Law Board (CLB).

AOA: The Articles can be amended by passing a Special Resolution (SR) at the Annual General Meeting (AGM).

Difference Between MOA and AOA

Memorandum of Association MOA:

The Memorandum of Association MOA is a very important document. It defines the objectives of the company and sets the boundaries within which the company should operate.

Article of Association AOA:

Articles of association AOA are an important document of a joint stock company. It consists of rules and regulations or bye-laws of the company. They are concerned with the internal workings or management of the company. She plays a very important role in the running of the company.

For more information you can download difference between moa and aoa pdf

Difference between MOA and AOA in Hindi

 एम.ओ.ए कंपनी के अधिनियम की सहायक कंपनी है और ए.ओ.ए कंपनी के अधिनियम और एम.ओ.ए की सहायक कंपनी है।

2. एम.ओ.ए में कंपनी की सारी जानकारी बुनियादी होती है और ए.ओ.ए में कंपनी द्वारा शासित नियमों और अधिकारों से संबंधित जानकारी होती है ।

3. मेमोरेंडम ऑफ एसोसिएशन में एक क्लॉज 6 होते है । दूसरी ओर, कंपनी की वरीयता के आधार पर एसोसिएशन के लेख तैयार किए जा सकते हैं।

4. सभी कंपनी को एम.ओ.ए के साथ उपकृत करने की आवश्यकता होती है, जबकि ए.ओ.ए केवल प्राइवेट लिमिटेड कंपनी के लिए अनिवार्य होती है।

5. कंपनी को पंजीकृत करते समय एम.ओ.ए की आवश्यकता होती है, ए.ओ.ए में ऐसी कोई शर्त नहीं होती है

6. यदि एम.ओ.ए में किसी गतिविधि का उल्लेख नहीं हो तो इसे पूर्ण शून्य माना जाता है, ए.ओ.ए के बारेमे में यदि शेयरधारकों ने गतिविधि को मंजूरी दी तो यह किया जा सकता है।

This is Hindi difference It is necessary  to getting know about the difference between MOA and AOA

Difference between memorandum of association and articles of association with examples

Difference between MOA and AOA

  • Memorandum of Association

An MOA is a legal document prepared at the time of forming and registering a limited liability company(LLC). It contains the main objective of incorporation of the company.  A memorandum of association containing a name clause, registered office clause, object (or objective clause), liability clause, capital clause, and association clause.

  • Article of Association

The articles of association specify the rules and regulations of internal affairs related to the management of the company. This document contains company details, company purpose, duration, the share capital of the company, power distribution, shareholder meetings, and company organizations are some of AOA contents.

These are the difference between MOA and AOA. 

Memorandum of Association vs Article of Association

  • Memorandum of Association (MoA)

As per Section 2(56) of the Companies Act, 2013, memorandum means the original memorandum of association under which the company is registered or as amended following the provisions of the Companies Act, 2013.

It is a key document of the company. This document states the character of the company. The MOA describes the company's powers, objectives, and operations. The Company may undertake those activities as written under the MOA. It describes the boundaries beyond which the company's activities cannot cross. MOA helps shareholders and creditors communicate and transact with the company.

Therefore, it is important to know the exact business of the company and its limitations before proceeding with Private Limited Company registration. Boundaries beyond which a company cannot operate, and provide an overview of the company's strengths and objectives. In the case of a private limited company, the MOA is signed by at least two members. However, in the case of a public limited company, the MOA is signed by seven members.

  • Article of Association (AOA) 

As per Section 2(5) of the Companies Act, 2013, Articles refer to the original Articles of Association of a company or an amended version complying with the provisions of the 2013 Act, r/w Section 5 which defines aoa as any document containing rules and regulations for managing the company.

The articles of association specify the rules and regulations of internal affairs related to the management of the company. It also defines the purpose of the company and outlines how the company should carry out its functions. Duties include the preparation of financial records and management of financial records. Simply put, an aoa is an organization's user manual that outlines its objectives and strategies for meeting its long and short-term goals.

The main focus of aoa is to inform its readers about the methods used by the organization to meet its daily, quarterly, monthly, and annual objectives. The document usually contains the legal name of the company, address of the company, financial provisions of the company, purpose of incorporation of the company, provisions relating to shareholders' meetings, and share capital of the company,

For getting a piece of more information you can download the difference between MOA and AOA.