Shareholders are trusted owners of a company. They have the right to appoint directors who manage business operations regularly. A change in name results when a transfer of the shares takes place. In a private limited company, the transfer of shares is generally prohibited. At the time of the share transfer, preference will be given to existing shareholders for sale.
The Article of Association for a Private Limited Company has important guidelines that must be met before share transfer commences. It is important to review the article of submission of the company before completing the share transfer for a private limited company.
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