Authorized capital

Authorized capital is the maximum (nominal) amount for which share The portion of registered capital of a private or public limited company
» Meer over share
shares
( share The portion of registered capital of a private or public limited company
» Meer over share
stocks
) can be issued. The amount of authorized capital is set in the articles of association A document, drawn up when a Dutch company or legal person is set up, and which regulates the operations of the company and defines its purpose.
» Meer over articles of association
Articles of Association
of the legal person. Only legal persons with share The portion of registered capital of a private or public limited company
» Meer over share
share
capital, like limited companies, have authorized capital.

Following the entry into force of the flex-limited, the authorized capital for a Dutch private limited company ( Ltd.) A legal person of which the registered capital is divided in shares
» Meer over private limited company ( Ltd.)
private limited company
is optional. According to Dutch law at least 1/5th of the authorized capital for a public limited company must be subscribed. As the paid-up part of the subscribed capital has to be at least € 45.000, the authorized capital of a Dutch public limited company is usually € 225.000. 

Categories:

More information?

Contact us