{"id":5137,"date":"2014-10-31T08:03:52","date_gmt":"2014-10-31T06:03:52","guid":{"rendered":"http:\/\/www.officetodo.com\/public\/?p=5137"},"modified":"2014-10-26T08:04:19","modified_gmt":"2014-10-26T06:04:19","slug":"articles-of-association","status":"publish","type":"post","link":"http:\/\/www.officetodo.com\/public\/articles-of-association\/","title":{"rendered":"Articles of association"},"content":{"rendered":"<p>Articles of association aren\u2019t just some complicated words put on a piece of paper. It\u2019s also not just something required by legislative framework the company is incorporated.\u00a0<!--more--><\/p>\n<p>Articles of association are guidelines agreed by the owners of the company on how it should be run (in very general terms and conditions), it\u2019s also giving instructions on how many shares the company have, the structure of the share capital (i.e. if there are preference shares for an example or some shares don\u2019t get dividends etc.) Articles of association also explain on how to deal in situations where one owner wants to sell their shares for an example.<\/p>\n<p>The general principles of how the management should operate, how they\u2019re paid and how they communicate with the owners can also be part of articles of association. Something that could also be disclosed within the articles, is the reporting framework the company applies, i.e. it\u2019s accounting guidelines, its reporting period etc. Articles of association can also describe rights to present the company, i.e. every contract signed on behalf of the company must be signed by at least two members of the management board.<\/p>\n<p>Articles of association can also limit the length and amounts of liabilities management can solely take for the company and so on. Articles of association can be a very comprehensive document.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Articles of association aren\u2019t just some complicated words put on a piece of paper. 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