Let's take a look at the main points of capital increase and share expansion, which can be summarized as: 1, raising operating funds and expanding production scale. Start-ups and small and medium-sized enterprises need to constantly raise production and operation funds and expand production scale. In all financing methods (including bank loans, private lending, physical mortgage, equity pledge, etc.). ), the financing cost of capital increase and share expansion is the lowest, and the feasibility and reuse rate are also high. 2. Adjust the shareholder structure and shareholding ratio. According to the development of the internal and external situation, the company needs to constantly adjust the company's shareholding structure and the shareholding ratio among shareholders, and improve the corporate governance structure. Capital increase and share expansion led to the dilution of some shareholders' equity and the increase of some shareholders' equity ratio, which became an important means for the company to adjust its shareholding structure and shareholding ratio. 3. Improve the company's credit and obtain legal qualifications. Capital increase and share expansion will naturally aim at expanding the scale of the company and improving the company's credit. At the same time, a company with a specific business purpose needs to reach a certain registered capital to obtain a specific legal qualification. Therefore, some companies whose registered capital is not up to standard must increase capital and share. 4. Introduce strategic investors. The development of the company needs capital, and investors will introduce technology, products, management experience and purchase and sale network while bringing capital, thus enhancing the competitiveness of the company.
Legal objectivity:
Article 14 of the Regulations on the Administration of Company Registration complies with the provisions of Article 27 of the Company Law. However, a shareholder may not contribute capital at a fixed price with labor service, credit, natural person's name, goodwill, franchise or secured property. Article 27 of the Company Law: Shareholders may make capital contributions in cash, or in kind, intellectual property rights, land use rights and other non-monetary property that can be valued in money and transferred according to law. However, except for the property that cannot be used as capital contribution as stipulated by laws and administrative regulations. Non-monetary property as capital contribution shall be evaluated and verified, and its value shall not be overestimated or underestimated. Where there are provisions in laws and administrative regulations on evaluation and pricing, those provisions shall prevail.