Question 1

What is the difference between Issued & Paid-Up Capital?

Accepted Answer

Issued Share Capital: 
On behalf of the company's largest financial commitment that the shareholders have promised and are willing to bear
The registered capital of Singapore companies starts at 1 SGD with no ceiling. There is no strict time limit for the full payment of registered capital of Singapore companies and no stamp duty is levied.

Paid-Up Capital:
It refers to the amount of money that was actually injected into the company after the shareholder took up the financial responsibility.
There is no requirement for capital to be "in place", meaning, deposited into the company's bank. However, if the capital is not fully paid, the debts are borne by shareholders. At the same time, if you want to apply for a permit, the capital needs to be in place.

Question 2

What is the difference between registered capital and paid-in capital? Are the two equal?

Accepted Answer

The actual capital should in principle be the same as the registered capital. If it is not fully paid, it will be regarded as a director's loan.

Question 3

Can Singapore companies increase their issuing capital after their establishment?

Accepted Answer

Yes, you may increase the Issuance Capital at will. However, you must hold a general meeting and pass a resolution to increase the Issuance Capital; then submit the resolution to the relevant Singapore government department together with the completed form and the appropriate fee.

Issued & Paid-Up Capital

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Issued &
Paid-Up Capital