Meaning and Definition of Share Capital

What is the Meaning and Definition of Share Capital?

Share capital, also known as equity capital or registered capital, is the amount of money that a company raises by issuing shares of stock to investors. This money is used to finance the company's operations, invest in new projects, and pay dividends to shareholders. Share capital represents the ownership of a company, and shareholders are entitled to a proportionate share of the company's profits and assets.