Private company — selected practice notes
1–6 of 6 practice notes · curated starting points; shared topics remain in the full contents
7. Private company
A private company may have one to 50 members, one or more directors and no public offer of its shares.
Subject: Choosing the company vehicle
Act references: s. 4; s. 9; s. 10; s. 11
Key point: The share capital consists of one or more shares.
15. Registering a private company
A private-company filing should be the final expression of an agreed ownership and governance structure, not the starting point for those decisions.
Subject: Formation and registration
Act references: s. 20; s. 21; s. 23; s. 24; s. 25
Key point: The application identifies the reserved name, type, registered address, capital and agreed initial share distribution.
21. The company constitution
The constitution comprises the Memorandum and Articles; together they allocate corporate purpose, powers, governance and member rights.
Subject: Constitution, capacity and identity
Act references: s. 38
Key point: The Memorandum and Articles are both constitutional documents.
43. Board composition and Managing Director
Every company needs a Managing Director; minimum director numbers vary by company type and the constitution or constituting law may require more.
Subject: Directors, governance and secretary
Act references: s. 113; s. 114
Key point: Private companies require at least one director, public companies at least two, and Government/local authority companies at least three.
32. Membership and Register of Members
Membership depends on the statutory and constitutional acquisition of shares and the company register is a central evidential record.
Subject: Members, meetings and resolutions
Act references: s. 80; s. 81; s. 82; s. 83; s. 84; s. 85
Key point: Founding subscribers become members on registration and must be entered in the Register of Members.
73. Annual compliance cycle
Annual compliance is a connected production line: books, statements, audit where applicable, board approvals, meeting pack, AGM and post-AGM filings.
Subject: Accounts, audit and annual compliance
Act references: s. 91; s. 92; s. 93; s. 94; s. 95; s. 96; s. 97; s. 136; s. 180; s. 181; s. 182; s. 183; s. 184; s. 185; s. 186; s. 187; s. 188
Key point: Board meetings occur at least four times each year.
This page is a general research and practice aid. The translations used in this manual are unofficial. Verify the official Dhivehi legislation, amendments and current procedures before relying on any entry. Read our sources and verification guidance and contact a lawyer at Sulthan & Amhar for advice on your circumstances before relying on this material or taking action.