Minimum Subscription - Definition - Law Dictionary Home Dictionary Definition minimum-subscription

Definition :

Minimum subscription is the minimum cash to be raised by the issue of shares offered to the public for subscription. This must be stated in the prospectus and application sums therefor received before allotment of shares. The amount includes the minimum required, in the opinion of directors, for property to be bought by the proceeds of issue, preliminary expenses, if any repayment of loans for those purposes and working capital; see (English) Companies Act, 1929, s. 39 and 4th Sched