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What difference does it make how much registered capital a company has

The size of the registered capital determines the future legal responsibility of your company. If your registered capital is 500,000 in the future company business encountered disputes owed to others money 600,000 you in the legal responsibility as long as the compensation 500,000 on the line, but if your registered capital is 1 million that must be compensated to the full 600,000 others.

The company's registered capital is 30 million, which means that the shareholders are responsible for the company for 30 million. This responsibility is not based on the shareholders have not paid the registered capital as a standard. And the shareholders of the company's capital contribution period can be changed, that is to say, the company's 30 million in the period agreed by the shareholders did not pay up, the shareholders can again agreed to change the articles of association, the period pushed back. And once the company's shareholders have finished subscribing to the registered capital, it means that they are liable for the company to the extent of the registered capital.

Expanded information

According to the "Regulations on the Administration of Enterprise Legal Person Registration" Article 12 provides: "The registered capital is the state grants the enterprise legal person to operate and manage the property or the amount of the enterprise legal person's own property embodied. When an enterprise legal person registers for business and the amount of funds applied for registration is inconsistent with the actual funds, it shall be handled in accordance with the special provisions of the State."

Article 31 of the Rules for the Enforcement of the Regulations on the Registration of Enterprise Legal Persons stipulates, "The amount of registered capital is the monetary manifestation of the property managed by the enterprise legal person or the property owned by the enterprise legal person. Unless otherwise provided by the State, the registered capital of an enterprise shall be consistent with its actual capital."

Registered capital is the amount of property granted by the state to the enterprise legal person to operate and manage or the amount of property owned by the enterprise legal person is reflected in the registered capital is the right to operate and manage the enterprise; is the sum of the enterprise's real assets. Registered capital with the increase or decrease in real funds and increase or decrease, that is, when the enterprise's real funds than the registered capital increased or decreased by more than 20%, to change the registration.

Registered capital reflects the amount of property actually owned by the enterprise. It just represents the initial capital invested and is a symbol that proves that the company can take at least as much risk as the registered capital.

The use of registered capital: the accounting firm can be transferred to the RMB account after the completion of capital verification, for the purchase of office equipment, production equipment and working capital. As long as it arrives in the account for more than 24 hours, it can be used normally and there is no restriction. However, it should be noted that the Business and Industry Bureau must have complete financial procedures when checking the accounts, and the net assets should not be less than the registered capital.

Reference:

Baidu Encyclopedia-registered capital