Share capital

The capital stock of a corporation, sometimes referred to as nominal capital is the sum of the nominal values ​​of the emitted ( output ) common and preferred shares. The capital stock is initially the paid or introduced at the founding of the share capital, which is reported in the balance sheet. The capital can be deposited by cash payment, conversion or by incorporation in kind (for example, house and land ownership). For material creation, however, a review is required by law. This capital may be in the course of doing business - for example, through a capital increase - change. The emission may, but need not be done on the stock exchange. In the conversion of another corporation ( for example, a limited liability company ) is transferred to a corporation.

A corporation is liable without limitation with all its assets. However, the guilt of the shareholders is limited to the performance of their deposits, and therefore also their liability is limited.

The share capital of a public company must have at least 50,000 euro amount (§ 7 AktG). In the balance sheet of the company's share capital is recorded as share capital as part of equity and is divided into shares, raising the membership rights of the shareholders in the Company a security interest.

By breaking down of the capital in shares ( minimum 1 euro per share; § 8 section 3 AktG) and their potential output in domestic and foreign stock markets funds in the form of equity to be procured. If some shareholders (shareholder of the Company) to sell their shares ( shares), the share capital remains unchanged, as through the sale or purchase of shares, only the members (shareholders ) change, the share capital of which is, however, not changed.

The name, according to the Commercial Code is issued capital (for all companies). In contrast GmbH states capital.

Not to be confused is the capital stock with the market capitalization that reflects the current market value of all issued shares at the market price of a company. Also, do not confuse it with the equity, which in particular also includes the reserves.

Switzerland

The Swiss company law, the capital stock of a corporation is divided into shares and participation certificates. The former is the sum of the nominal values ​​of all issued shares, including the voting rights. The participation capital is the sum of all denominations of all emitted participation certificates, a kind of non-voting shares.