Every registered company in Nigeria has what is called share capital. Share capital is the money invested in a company by its owners (shareholders) in exchange for ownership shares (portions).
It is the financial base of the company, showing the level of investment/contribution and extent of each person’s ownership rights.
For some companies, the law requires a minimum share capital before they can be validly registered. Specialized businesses like banks, insurance companies, oil and gas firms and some professional service providers cannot operate unless they have a minimum share capital.
It shows financial capacity and compliance with regulatory standards.
Your shareholding determines the strength of your voting power, amount you get paid as dividends and the level of control you have in decision-making as a shareholder. The higher your shares, the stronger your influence in the company.
A mistake with share capital structure can affect your company growth, restrict opportunities or render a company unable to operate.
That is why the best person to engage for proper company incorporation is a Property and Business/corporate Lawyer.
With expertise in corporate and property law, he ensures that share capital requirements are correctly structured, the incorporation complies with the law and your company is built on a solid legal foundation.
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APEX CHAMBERS, Law Firm of Property/Real Estate and Business/Corporate/Commercial Lawyers, Attorneys, Barristers, Solicitors Advocates, Legal Practitioners rendering legal services, Legal Consultants and Notary Public with Law Office in Port Harcourt, Rivers State, Nigeria