What is the Share Capital?

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shareholdersA company’s share capital is the total value of shares that it has issued to its shareholders. So, if a company has issued one share worth £1, the share capital would be £1. If a company has issued three shares worth £2 the share capital would be £6. The number of shareholders is irrelevant.

Number of Shares × Value per Share = Share Capital

This post was brought to you by Mathew Aitken at Companies Made Simple – The Simplest Company Formation Service

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