partly paid share

A share the full par value of which has not been paid by the shareholder. Formerly, partly paid shares were issued by some banks and insurance companies to inspire confidence, in the knowledge that they could always call on their shareholders for further funds if necessary. Shareholders, however, did not like the liability of being called upon to pay out further sums on demand and the practice largely died out. It has been revived for large new share issues, especially in privatizations, in which shareholders pay an initial sum for their shares and subsequently pay one or more calls on specified dates.

Accounting dictionary. 2014.

Look at other dictionaries:

  • partly-paid share — ➔ Share …   Financial and business terms

  • partly paid share — A share the full par value of which has not been paid by the shareholder. Formerly, partly paid shares were issued by some banks and insurance companies in the knowledge that they could always call on their shareholders for further funds if… …   Big dictionary of business and management

  • partly-paid share — Fin a share for which shareholders have not paid the full contractual amount. See also call, share capital …   The ultimate business dictionary

  • partly paid-up share capital — UK US noun [U] STOCK MARKET ► PARTLY PAID SHARES(Cf. ↑partly paid shares) …   Financial and business terms

  • partly-paid shares — UK US noun [plural] (also partly paid stock, partly paid up share capital, contributing shares) STOCK MARKET ► shares that have been bought, but for which the company has allowed shareholders to pay only part of the total value: »A company can… …   Financial and business terms

  • partly-paid — When a share is issued, the person applying for it must pay to the company, in cash or equivalent value, the amount of its nominal value together with any premium required by the company. Shares are fully paid when the whole amount has been… …   Law dictionary

  • partly paid shares — Shares where the shareholder is still liable to pay an additional sum of money to the issuer when the outstanding amount is called by the directors. If the shareholder does not pay the outstanding amount, his share will be cancelled with no… …   Financial and business terms

  • part-paid share — also partly paid share ➔ Share …   Financial and business terms

  • fully paid share — A share on which the full nominal or par value has been paid by the shareholder (plus any premium). Compare: partly paid share See also: called up share capital, paid up share capital …   Accounting dictionary

  • fully paid share — A share on which the full nominal or par value has been paid by the shareholder (plus any premium). Compare partly paid share See also paid up share capital …   Big dictionary of business and management

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