Document background
The Memorandum of Association for a Company Limited by Guarantee is a crucial incorporation document required when establishing a company without share capital in South Africa. This document type is commonly used when forming non-profit organizations, professional bodies, or associations where personal profit isn't the primary objective. Under the South African Companies Act 71 of 2008, it must detail the company's objectives, governance structure, and the guarantee amount that members commit to contribute if the company is wound up. The document serves as the company's constitution, defining its relationship with external stakeholders and establishing internal governance rules. It's particularly important as it provides the legal framework for organizations that operate for public benefit or member interests rather than commercial profit.
