Document background
A Board Resolution For Call On Shares is a crucial corporate governance document used in New Zealand when a company needs to raise additional capital by requiring shareholders to pay up their partly paid shares. This document is typically utilized when a company requires additional funding for expansion, operations, or specific projects. The resolution must comply with the New Zealand Companies Act 1993 and the company's constitution, detailing the amount of the call, payment terms, due dates, and consequences of non-payment. It's a formal record of the board's decision-making process and provides the legal foundation for enforcing the call on shares. The document is particularly important for companies with partly paid share structures and must be carefully drafted to ensure enforceability and compliance with relevant legislation.
