Form with which a corporation may alter the amount of outstanding shares issued by the corporation.
Authorized Shares Of In Suffolk
State:
Multi-State
County:
Suffolk
Control #:
US-0034-CR
Format:
Word;
Rich Text
Instant download
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FAQ
Changing your company's shares When you form a corporation, you must list the number of authorized shares of the corporation's stock and the par value of those shares in the Articles of Incorporation. In order to update this information, Articles of Amendment must be filed with the state of incorporation.
Authorized shares refer to maximum number of shares that a corporation is allowed to issue. This number is usually referenced in a company's Articles of Incorporation. The only way to increase authorized shares is to make an amendment to the aforementioned document.
Authorized shares, or authorized stock, are simply a legally allowed maximum number of shares that a company can issue to investors. The number of authorized shares is specified in the company's articles of incorporation. You can also see the number in the capital accounts section on the balance sheet.
Put simply, LLCs do not have shares. The only businesses with shares are those structured as a corporation. With an LLC, ownership looks different. Instead, it's determined by ownership percentage.