The Memorandum of Association is a statutory document of a company on the basis of which a company is established and is required for those who wish to form a new business in Cyprus. It provides specific objects a company is set for and governs the relationship between the company and the outside world.
The document provides regulations for the company’s business governance. Where a company set for general objects, activities of which do not require any kind of license from an authority or regulatory body, a private company with a share capital may be set, Memorandum of Association of which would provide for general company’s objects.
In principle the private company’s Memorandum of Association contains at least the following:
- Name of the Company;
- The Company’s objectives;
- A statement that the liability of the Company’s members is limited;
- The amount of share capital (provided that a company has a share capital) with which the company intends to be registered and its distribution and affiliation between the Company’s shareholders; and
- The shareholders’/subscribers’ to the Memorandum of Association particulars and their signatures opposite their names and, the number of shares held by each of them (given that a company has a share capital).
- Signatures of a witness and the lawyer who prepared the Memorandum of Association is required for completing the document.