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Business Setup & Legaladvanced

Articles of Association

Definition

The constitutional document of a UK limited company, setting out the rules for how the company is run, how decisions are made, and the rights of shareholders and directors.

Why it matters

Articles of Association govern your company's operation. The default "Model Articles" work for most small businesses, but customised articles are essential if you have co-founders or plan to raise investment.

Example

Your Articles state that a director can be removed by shareholders holding 75% of shares. A co-founder dispute where the other party holds 60% cannot remove you. Your articles protect you.

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