What does registered capital mean
Registered capital refers to the amount of capital actually paid by the shareholders of collectively owned (joint-stock cooperative) enterprises; the property operated and managed by corporate legal persons owned by the whole people or collectively owned, or the monetary expression of all properties, is the property or self-owned property granted by the state to the corporate legal person to operate and manage reflected in the amount.
【Legal Basis】
Article 26 of the Company Law
The registered capital of a limited liability company is the capital contribution subscribed by all shareholders registered with the company registration authority.
Where laws, administrative regulations and decisions of the State Council have other provisions on the paid-in registered capital and the minimum amount of registered capital of a limited liability company, such provisions shall prevail.
Paragraph 1 of Article 13 of the "Regulations of the People's Republic of China on the Administration of Registration of Market Entities"
Unless otherwise stipulated by laws, administrative regulations or decisions of the State Council, the registered capital or capital contribution of market players shall be subscribed and registered, expressed in RMB.
What is the relationship between the registered capital of the business license
1. The amount of registered capital reflects to a certain extent whether the company's operating capital is strong and whether it has the ability to carry out large-scale projects. Sometimes customers use registered capital as a consideration for cooperation.
2. Moreover, many bidding projects need to test the company’s registered capital. The registered capital is related to your company’s qualification evaluation level. Companies with different levels of qualifications can obtain different project grades for bidding. If the registered capital is less than a certain scale, they will not participate in the bidding. Qualifications.
3. There will be a threshold requirement for registered capital when registering in the industry. If the registered capital is not enough, you cannot apply to register a company with the name of the industry.
4. The higher the registered capital of the company, the more civil liabilities it bears.
How much is the registered capital of the registered company?
The issue of how much registered capital is good for a registered company is not clearly stipulated, and the registered capital generally needs to consider two aspects:
1. Financing needs
If it is necessary to borrow funds from banks and other institutions, the ratio between the company's registered capital and borrowed funds is very important to banks, and they have their own risk assessment standards. Generally speaking, under the same conditions, the larger the registered capital, the easier it is to raise funds, and the more funds that can be borrowed.
2. Company business development
The embodiment of strength or the size of the risk that can be taken. Since the company is limited by the company's assets and assumes limited liability, the registered capital is a guarantee for bearing the risk of loss.