partly paid shares

partly paid shares

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2 directors were allotted shares at par i.e. nominal value for cash consideration "to be paid when the company calls for it"?

if so should the accounts reflect full paid shares with corresponding debit on DLA - and if so would s419 apply?
nick farrow

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By User deleted
10th Dec 2008 16:25

Nil paid?
If the directors have not actually yet paid any monies to the company for their shares then the shares are nil paid.

They should only be classified as partly paid if some, but not all, of the amount due has been paid, and only classified as fully paid if they have all been paid for in full.

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By nick farrow
10th Dec 2008 17:02

thanks Sarah
I've now done further research on this which I believe is in accordance with your comments

only disclose in balance sheet called up amounts and hence DLA if unpaid

but if shares allotted but not called up then disclose in note as allotted but not called up

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