FORMATION A COMPANY IN KENYA A company comes into existence when a number of persons come together with a view to exploit

some business opportunity. These persons are called promoters. The initial step that must be taken by promoters who are desirous of forming a company is the preparation of a document called memorandum of association to which at least seven of them will subscribe their names incase of a public company and two incase of private company, as prescribed by Section 4 of the Act. The next step is the delivery of the memorandum to the registrar of companies together with the following documents:(i) Articles of Association:This document contains the regulations for management of a company. Consent to act as a director:If any person is appointed director of the company by the articles which are to be delivered for registration in lieu of Table A, Form No. 209 must be delivered for registration after being duly completed and signed by him or by his agent authorized to do so. The form is the statutory signification of the persons consent to act as a director. List of persons who have consented to be directors. (Form No. 210). Statement of the nominal share capital:This statement is delivered for taxation purposes pursuant to Section 39 of the Stamp Duty Act. Declaration of compliance. (Form No. 209):Form No. 208 when duly completed and signed, constitutes the statutory declaration by an advocate engaged in the formation of the company that all the requirements of the Companies Act in respect of matters precedent to the registration of the company and incidental thereto have been complied with. If the aforesaid documents are correctly prepared in accordance with the provisions of the companies Act, the registrar grants a certificate of incorporation and the company is formed from the date of incorporation written in the certificate.

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(iii) (iv)

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