Share Capital of Company

1. Share Capital of Company

2. Meaning of Share Capital • Share capital is the amount of money that a company receives by the sale of its shares.

3. Description of Share Capital • In Memorandum of Association • In Articles of Association • In Prospectus • In Publication Subscribed Capital and Paid –up Capital Along with authorised capital should be described

4. Nature and Forms of Capital • Authorised,Nominal or Registered Capital • Issued Capital • Subscribed Capital • Alloted Capital • Called-up Capital • Uncalled Capital • Paid-up Capital • Reserve Capital • Fixed Capital • Working Capital • Watered Capital

5. Kinds of Share Capital • Equity Share Capital • Preference Share Capital

6. Methods of Alteration in Share Capital • Increase in Share Capital • Consolidation and Division of Share Capital • Conversion of Shares into Stock and Reconversion • Sub-division of Share Capital • Cancellation of Share Capital

7. Procedure of Alteration • Acceptance of Ordinary Resolution • Information to Registrar • Effect of Conversion of Shares into Stock • Notice of Increase of Share Capital

8. Reduction of Share Capital • By writing –off Lost Capital • By Refunding Surplus Capital • By extinguishing or Reducing the Liability on Shares • By Permission from the National Company Law Tribunal

9. Legal Restrictions for Reduction of Share Capital • By Specified Companies • Authorisation by Articles • By Special Resolution • Confirmation by National Company Law Tribunal

10. Procedure for Reduction • By Passing a Special Resolution • Application to the National Company Law Tribunal for Confirmation • Objections by Creditors • Preparing a List of Creditors Raising Objections • Order Confirming Reduction • Registration of Order

11. Thanks...