TABLE OF CONTENTS A company may issue to its members or the public either share capital or loan capital (debentures) or both.
Authorised share capital means the total amount of share capital which the company is authorised to issue.
Issued share capital is the nominal value of shares which have been issued to members.
Called up share capital is the aggregate amount which a member is required to pay for his shares. Full payment may not always be due at the time that the shares are issued.
Paid up share capital is the aggregate amount of money paid up on shares.
Reserve capital is capital which the company has resolved not to call except in the course of winding up (i.e. uncalled capital).
The authorised share capital can be increased by ordinary resolution: s121 CA85. A copy of the memorandum plus the ordinary resolution must be sent to the Registrar within 15 days.
The director of a company may not generally allot shares unless they are authorised to do so by the articles or by ordinary resolution. The directors' authority may be general or spe- cific to a particular issue.
It must state the maximum number of shares which may be allotted and the date on which the authority expires.
It must not generally be for a period of more than five years.
It may be revoked at any...
