Total funds raised by a company through issuing shares to shareholders, representing ownership and forming a key part of its financial structure.
Share capital refers to the total amount of capital raised by a company through the issuance of shares to shareholders. It represents the equity portion of a company’s capital and is the primary source of funds used for business operations. Share capital can be in the form of ordinary or preference shares.
The value of share capital is determined by multiplying the number of shares issued by their nominal (face) value. It is an essential part of a company's financial structure and is used to assess its financial stability.
Example: If a company issues 1,000,000 shares at ₹10 each, its share capital is ₹10,000,000.
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