What does the company mean by increasing capital?

A company's capital increase refers to increasing its registered capital, with the general purpose of expanding its business scope, improving its reputation and attracting more companies to cooperate. To increase capital, the company must first pass a decision at the shareholders' meeting, and then amend the articles of association. In the process of shareholders' capital increase, accounting firms are required to verify capital. Finally, go to the company registration authority for change registration.

1. What does the company mean by increasing capital?

Capital increase of a company refers to the act of increasing registered capital according to law in order to expand business scale, broaden business, improve the company's credit standing. The company's capital increase needs to be decided by the shareholders' meeting, and the contents of the registered capital in the company's articles of association should be revised.

Second, the company's capital increase process

1. First, the shareholders' meeting decided to increase the company's capital (which must be approved by shareholders representing more than two thirds of the voting rights) and change the company's articles of association.

2. Second, the new capital contribution subscribed by shareholders needs to be verified by an accounting firm.

3. Third, go through the corresponding change registration procedures at the company registration authority.

4. If a company increases or decreases its registered capital, it must register the change with the company registration authority according to law.

III. The capital premium processes stipulated in the Company Law are as follows

1. Draw up a premium capital increase agreement.

2. Convene the shareholders' meeting and form a written resolution of the shareholders' meeting (corporate shareholders submits the letter of appointment of shareholders, and the copy of the client's ID card is signed by himself and stamped with the fresh corporate seal).

3. Draft amendments to the Articles of Association.

4. Set up a special capital verification account in a bank (each bank may be different, and some banks may not require the establishment of a special capital verification account).

5. The newly-added shareholders pay in the bank (Note: If it is a premium, part of the money can be remitted to the newly-established capital verification account, or part of the money can be remitted to the original account of the company as capital reserve. This item also varies from bank to bank, so pay special attention to it. In addition, in the remarks column of the payment voucher, indicate "investment money").

6. Require the bank to issue a certificate of registered capital increase and submit it to the accounting firm, and at the same time submit the payment slip of all shareholders to the accounting firm to issue a capital verification report.

7. Prepare the following materials.

1) Identity certificates of new and old shareholders and their signatures and seals,

2) The target company shall submit the following documents:

3) Capital verification report.

8. After all the materials are prepared, submit them to the relevant industrial and commercial bureau and collect them after handling.

9. After all the documents are processed, they must be explained to the local tax administrator and the bank where the basic account is opened.

Capital increase of the company, as its name implies, is a resolution to increase the registered capital of the company, which requires a resolution by the shareholders' meeting.