If your company is a private limited company, you may dispense with the holding of the Annual General Meeting (AGM) by following the procedures for dispensation:
- A private limited company can choose not to hold AGMs if all members have agreed to it by way of a resolution. Once such a decision is made, all matters which are to be dealt with at the AGM can be settled through the passing of written resolutions. The resolution to dispense with AGMs will remain in effect even after the year in which it is passed. However, any member may call for an AGM to be held for any year by giving notice to the company at least 3 months before the end of that year.
- When dispensation is in force, any provision under the Act requiring something to be done at the AGM may be done by passing resolutions by written means. The resolutions can be circulated by paper-form.
- A resolution to dispense with the holding of the AGM is only treated as passed if it has been passed by all members.
- A general meeting to dispense with the AGM cannot be conducted by written means.