Anyone having a company or ever been involved in something related to companies must be well aware of the Memorandum of Association (the "MOA").

MOA is the most important document of any company. It covers a wide range of affairs not limited to company's name, partners details, authorised person, company's structure, company's capital, dissolution, liquidation, increase in capital, adding new partners etc.

Normally there is a standard draft which is followed by most of the law firms while drafting the MOA but in some exceptional circumstances extra care must be taken while drafting the MOA when the client is not the majority shareholder or where the client is a silent partner or the real owner of the entire business.

A lot of people believe that MOA is the same for every case so why should they consult lawyers and get the draft of MOAs drafted through people not having proper knowledge. In those cases, they totally overlook the fact that what can be the consequences of having a poorly drafted MOA.

Business is strange, things change very fast and along with people. Your partner with whom you started the business a few years back may change tomorrow and a draft of MOA which was not drafted contemplating such changes will definitely create havoc at later stages.

If you are looking forward to starting a business I would suggest you spend a little extra but secure your interest with the help of a professional who knows the nooks and crooks of business and can draft a proper MOA keeping you and your interest safe.