WHAT IS PAID UP ?
Paid up capital refer to a sum of money that shareholder PAID into company bank account in return for them being named as shareholder of the company.
There is NO fixed amount to be invest, all is based on the agreement between shareholder and company.
There can be ANY legal currency .
- How the paid up will be utilised ?
Paid up amount will be used as operating cost of the company example to pay rental, salary, phone bill.
- Issued Share Capital vs Paid Up Capital
- Issued Share Capital is the total of the share capital issued to shareholders or we called as allotment of shares to the shareholder
- Paid up Share Capital is the amount of share capital paid by the shareholders.
- Can the issued share capital be increase ?
Yes, the issued share capital can be increase or decrease anytime .
After proper signed resolution approved by director and shareholder , you may proceed to apply with ACRA .
- What is the increase paid up otherwise than cash ?
Otherwise than cash means used services, fixed asset to ” trade in ” for the company shares . But it must have sufficient evidence of the valuation amount .
- What is the par value for the shares ?
The concept of par value has been abolished in Singapore.
You are given greater room to determine the price .
For example, you can issue 10% shares in your Singapore company to a person for S$ 1 and 10% shares to another person for S$ 10,000.