Day: February 23, 2021

DEBT CAPITAL BORROWING BY COMPANIES Introduction Most Companies like individuals require to borrow from time to time for the requirement of their business. All companies registered under the Companies Act 2015 have an implied power to borrow for purposes incidental Read More …

CAPITAL MAINTANANCE Introduction The capital which a limited company obtains from its members as consideration for their shares is sometimes called ‘the creditors’ buffer’. No one can prevent an unsuccessful company from losing its capital by trading at a loss. Read More …

COMPANY SHARE CAPITAL SHARE CAPITAL Share capital is the amount that purchasers of shares have agreed to contribute to the Company in return of its shares. This is the amount of capital raised or to be raised by issue of Read More …

COMPANY OBJECTS AND CAPACITY A company’s objects are its aims and purposes. If a company enters into a contract which is outside its objects, that contract is said to be ultra vires. However, the rights of third parties to the Read More …

COMPANY PROMOTION LESSON  Definitions of a promoter  Promotion is conducted by persons who come up with the idea to form a company. They are legally referred to as promoters. It has been observed that a promoter is a person who Read More …

INTRODUCTION TO COMPANY LAW The exact scope of company law is difficult to define, on account that the laws of Kenya do not define the term in testament to the words of Buckley J in Re: Stanley (1906) “The word Read More …