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If your company plans to start a new business activity, diversify operations, or expand into a different sector, you must first amend the Object Clause of your Memorandum of Association (MOA).
Under the Companies Act, 2013, a company cannot legally operate beyond the scope of activities mentioned in its Object Clause. Any activity outside the approved objects may be considered ultra vires (beyond legal authority).
Therefore, before undertaking a new line of business, the company must complete the legal process for Change of Object Clause and file the required forms with the Registrar of Companies (ROC).
It acts as a boundary line — the company cannot lawfully engage in activities beyond what is stated in this clause.
If a new activity is not covered under either, alteration becomes mandatory.
You focus on growing your business — we’ll handle the legal compliances and regulatory complexities
| Feature | Public Limited Company | Private Limited Company | LLP | Sole Proprietorship |
|---|---|---|---|---|
| Legal Status |  Separate Entity | Separate Entity | Separate Entity |  Not Separate |
| Liability | Limited | Limited | Limited | Unlimited |
| Fundraising Ability | High | Medium | Limited | Not Eligible |
| Regulatory Compliance | High | Medium | Low | Very Low |
| Share Transferability | Freely | Restricted | Not Applicable | Not Applicable |
| Best For | IPOs, Scale-Ups | Startups, SMEs | Professionals | Freelancers |
The process for alteration of Object Clause is governed under Section 13 of the Companies Act, 2013.
Convene Board Meeting
Obtain Shareholders’ Approval
File Form MGT-14 with ROC
The company must file Form MGT-14 within 30 days of passing the Special Resolution.
Attachments include:
ROC Registration & Record Update
After verification, the Registrar records the alteration and updates the company’s master data.
You focus on growing your business — we’ll handle the legal compliances and regulatory complexities
Yes. A Special Resolution is required under the Companies Act, 2013.
Form MGT-14 must be filed within 30 days.
Typically 5–10 working days, subject to ROC processing.
No. The Object Clause must be amended first.
No. Only MOA is altered; the legal entity remains the same.
