• Paid-in capital is the total amount of cash or other assets that shareholders have given to the company in exchange for shares, nominal value plus any amount paid in excess.

  • Additional paid-in capital refers only to the amount in excess of the par value of the share.
  • Paid-in capital is shown in the equity balance sheet.
  • Usually it is divided into two different items: ordinary shares (par value) and additional capital.
  • Paid-in capital can be a significant source of capital for projects and can help offset commercial losses.