You are simply lying. If you registered the company with $50,000 in paid up capital, and issued shares for the same amount, but never collected the money, then you are violating multiple parts of the Companies Act.ac3r3xpir3 wrote:Hi all!
Have a question on paid up capital in Singapore. What happens if one started a company with example $50,000 paid up capital on paper, but did not bank in the amount into corporate bank account, is there any issue when it comes to accounting etc?
Or is there any other way to work around it? Company have exist for a year.
Your paid up capital can come in a number of legal forms, including equipment, from computers to industrial and manufacturing machines, to real estate and buildings.ac3r3xpir3 wrote:The money was used to purchase assets over the year, such as computer and equipments etc hence didn't bank in the money. That's why. We have valid invoices and receipts
Hi Strong Eagle, our declared shares are only 20k and in this case, we will need to increase it to 50k.Strong Eagle wrote: ↑Sun, 25 Aug 2019 5:35 amDo you have sufficient declared shares in your articles of incorporation to be able to issue additional shares without calling an AGM/EGM? For example, if your articles authorized 100,000 shares and you've issued only 50,000 (assuming $1 value), then more stock can be issued without calling an AGM/EGM.
It probably won't matter at all as to when you notify ACRA of the increase in paid up capital, but I believe that, technically, you can't do it until it has been recorded with ACRA. Since you're the shareholders, owners, directors, it won't really matter when you get around to it.
If you want to keep the books pristine, then you would record the $30K you put into the company first as a director's loan, then when filed with ACRA, convert the loan to share equity.
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