osakepääomana

Osakepääoma refers to the share capital of a limited liability company, typically found in Finnish corporate law. It represents the initial investment made by shareholders when the company was formed, or subsequently through capital increases. This capital serves as a foundation for the company's operations and acts as a buffer against potential losses.

The nominal value of the shares issued by the company constitutes the share capital. For example, if a company issues 100 shares with a nominal value of 1 euro each, its share capital would be 100 euros. In many jurisdictions, including Finland, there is a minimum required share capital for certain types of companies, such as private limited companies (osakeyhtiö). This minimum ensures that the company has a certain level of financial substance.

Share capital is distinct from the company's reserves, which are accumulated profits that have not been distributed to shareholders. While both contribute to the company's equity, share capital is a more permanent form of funding and can only be reduced through formal legal procedures. Changes to the share capital, whether increases or decreases, require shareholder approval and often involve registration with the relevant authorities. The concept of osakepääoma is fundamental to understanding the financial structure and liability of limited liability companies.