Is the higher the registered capital of the company, the better?

Updated on Financial 2024-04-03
8 answers
  1. Anonymous users2024-02-07

    When starting a company, is it better to have as much capital as possible? Talented female lawyers popularize legal knowledge for you!

  2. Anonymous users2024-02-06

    What issues need to be paid attention to when filling in the registered capital.

    1.The higher the registered capital, the greater the responsibility of the representative.

    At the moment when the company's registered capital implements the subscription system, the registered capital is no longer the embodiment of the company's economic strength, but the embodiment of the size of the shareholder's responsibility. Arbitrarily setting a registered capital that exceeds the scope of one's own bearing actually increases the scope of the company's external liability. When the company falls into insolvency and bankruptcy repayment procedures, the shareholders who subscribe to the sky-high registered capital must bear joint and several liability for the company's creditors within the scope of the commitment to subscribe to the registered capital.

    Therefore, it is good that the company has been operating normally, but once it goes bankrupt, it will be out of control.

    2.The longer the time limit for subscription, the better.

    The company's subscription amount and subscription period and other information will be announced to the public, and the subscription period is too long in the company's operation process, which will easily cause partners to doubt the company's strength and integrity.

    3.A subscription does not mean a non-payment.

    Although the law no longer requires the registration of paid-up capital, it does not require companies to provide capital verification reports when registering their establishment and capital increase. However, "only admitting but not paying" will not only affect the company's integrity, but also may be included in the list of abnormal operations and publicized to the public when the regulatory authorities conduct spot checks, resulting in a violation of the law and restrictions everywhere.

    4.It is not that the higher the registered capital, the better the project can be undertaken.

    Good projects generally look at the company's paid-in capital, rather than the registered capital. For example, if your company has a registered capital of 100 million yuan, but the paid-in capital is only 0, although the registered capital is very high, it may not even meet the qualified conditions of the project.

    It can be seen that the higher the registered capital, the better, and the excessively high registered capital not only cannot bring benefits to the company's development, but also may cause a series of harms.

  3. Anonymous users2024-02-05

    The registered capital of the company needs to be filled in according to the actual situation, and the more the better. Because the more registered capital a company has, the greater the responsibilities and risks to be assumed. Since the company implements the "subscription system", there will be no actual capital verification when the company is established, and only the capital contribution needs to be paid in accordance with the articles of association within the specified time.

    Therefore, if the company's registered capital is large, if the company only recognizes but does not pay during the later spot check by the regulatory department, it will affect the company's credit.

    In addition to the above effects, there is another important aspect, that is, if the company has poor management, resulting in insolvency, on the verge of bankruptcy. At this time, a large registered capital will bring a lot of trouble. For example, if the registered capital of a company is 100,000 yuan, and investor A has 70% of the equity, then when the company goes bankrupt and liquidates, it only needs to bear the responsibility of 70,000 yuan.

    If the registered capital of the company is 10 million yuan, and A also has 70% equity, then, in the end, when the bankruptcy is liquidated, it needs to bear the liability of 7 million yuan. Therefore, the size of the registered capital is different for the responsibilities of the investor. Therefore, when the company legal person fills in the registration information of the Industrial and Commercial Bureau, the registered capital cannot be filled in randomly.

  4. Anonymous users2024-02-04

    In fact, the more the registered capital, the better, this matter should be viewed dialectically.

    If the company goes bankrupt or is unable to pay off its debts, the investor must pay off the debts with the amount of the subscribed capital contribution. Therefore, when the amount of capital subscribed by Cina is too high, investors may face a debt repayment crisis.

    2. The higher the registered capital, the greater the tax risk.

    If the registered capital is too high, but the investor cannot pay the capital contribution in full and on time, the loan interest amount corresponding to the unpaid capital cannot be deducted before the enterprise income tax.

    3. If the registered capital is high, you may face a fine.

    If the registered capital is too high, it is likely that the funds will not be in place within the commitment period, which will be regarded as a false capital contribution and will be fined.

    4. The registered capital is high, and the funds cannot be withdrawn.

    At present, the registered capital of the company has been changed from the paid-in system to the subscription system. Therefore, the registered capital cannot measure the financial strength of the company, and it is useless if it is too high.

    5. High registered capital may lead to waste of funds.

    If the registered capital is written too high, it is easy to cause excessive idle funds after actual receipt, resulting in a waste of funds.

    To sum up, it seems that the higher the registered capital of the company, the better, and the right registered capital is the right choice, so entrepreneurs should understand this truth before registering a company.

  5. Anonymous users2024-02-03

    The higher the registered capital of the company, the better, welcome to follow, like, please send a private message for business handling, and now the registered capital of the registered company is subject to the subscription system, that is, there is no need to pay in at one time, which is convenient for many entrepreneurs. However, many people think that the higher the registered capital, the better, but is this actually the case? Let's talk about In fact, the more the registered capital, the better, this matter should be viewed dialectically 1. If the registered capital is too high, it will bear more legal responsibilities If the company goes bankrupt or cannot pay off its debts, the investor must pay off the debts with the subscribed capital contribution.

    Therefore, when the subscribed capital contribution is too high, the investor may face a debt repayment crisis 2. The higher the registered capital, the greater the tax risk If the registered capital is too high, but the investor cannot pay the capital contribution in full and on time, the loan interest amount corresponding to the unpaid capital cannot be deducted before the enterprise income tax 3. If the registered capital is too high, it may face a fine If the registered capital is too high, it is likely to lead to the failure of funds within the commitment period, which will be regarded as a false capital contribution and will be fined 4. At present, the registered capital of the company has been changed from the paid-in system to the subscription system. Therefore, the registered capital cannot measure the financial strength of the company, and it is useless to be too high 5. High registered capital may lead to a waste of funds The registered capital is written too high, which can easily cause excessive idle funds after actual receipt, resulting in a waste of funds To sum up, it seems that the company's registered capital is not as high as possible, and the right registered capital is the right choice, so entrepreneurs should understand this truth before registering a company.

  6. Anonymous users2024-02-02

    No, it mainly depends on how much capital is needed for production and operation, and how much shareholders need to invest. It's not that bigger is better, because the current registered capital of the chain does not need to be paid. There are two disadvantages to having too much registered capital:

    1. If the registered capital is 50 million yuan, but the shareholders actually invest 5 million yuan, the company will go to the bank for a loan, and the loan interest tax bureau will not recognize it, and it shall not be deducted before tax, because the registered capital has not been paid in full.

    2. The registered capital is the company when it was established to promise the society how much money I take to take responsibility for the company's business behavior, and if the company goes bankrupt, it should repay the arrears within the scope of the registered capital. Otherwise, they will bear criminal liability, which is called the crime of false declaration of registered capital. Falsely declare the amount of registered capital is huge, the consequences are serious, or the company is fined (between 1% and 5% of the amount of the registered capital), and the person in charge and other directly responsible personnel who fail to make it clear that they are directly responsible shall be sentenced to fixed-term imprisonment of not more than three years or criminal detention.

  7. Anonymous users2024-02-01

    The registered capital of the company is not the more you ruin the more you hold, the better the sails.

  8. Anonymous users2024-01-31

    Recently, a boss wants to register a company, and because he doesn't know much about it, he thinks that the larger the registered capital, the better. So whether the more the company's registered capital, the better, let's talk about it.

    The promulgation of the new "Company Law of the People's Republic of China" has greatly optimized the company registration process, especially the reform of the registered capital verification part, allowing the initial paid-in capital to be less than the registered capital, and the paid-in capital can be reached within the specified number of years, which makes some shareholders think: the larger the registered capital in the early stage, the more it can demonstrate the strength of the company, and with the continuous development of the company, the registered amount will be reached in the future. But is it really good to do that?

    For example, Mr. Wang, Mr. Guo and Mr. Ma planned to set up a processing company. Mr. Wang believes that in order to show the strength of the company, the registered capital can be quoted more. This proposal was agreed by Mr. Guo and Mr. Ma.

    At the time of registration, they wrote the registered capital as 50 million yuan, but in fact, the combined capital of the three people was only 3 million yuan.

    After the company was founded, the business development was not as good as the three of them expected. As a result, when the specified time came, their funds were still not in place, and at this time, the three of them began to be anxious. Mr. Guo Huqian and Mr. Ma agreed that it was because of Mr. Wang's irrationality that led to the current embarrassing situation, and all the responsibility should be borne by Mr. Wang alone.

    It can be seen that the larger the amount of registered capital, the stronger the company's strength and better credit. If the huge amount of capital is blindly subscribed for the sake of "face", which exceeds the economic strength of shareholders, it will only increase the responsibility and pressure of shareholders and affect the credibility and competitiveness of the company. In particular, when the company's assets are insufficient to pay off the company's debts, the shareholders are obliged to pay off the remaining debts according to the promised registered capital.

    The amount of capital contribution of the registered capital should match the financial ability and predictable capital capacity of the shareholders, do not think that you can not care about writing a distant subscription period, and when the company needs to operate funds, if other shareholders delay the capital contribution on the grounds that "the subscription period has not yet arrived", you can only "suffer from the enemy" but there is nothing to do.

    Links to legal provisions. Article 26 of the Company Law of the People's Republic of China stipulates that the registered capital of a limited liability company shall be the amount of capital contribution subscribed by all shareholders registered with the company registration authority.

    Where laws, administrative regulations and decisions 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.

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