The Analysis On Company Capital Quota System

The corporate capital system is an important part of the legal system of thecompany, set up in the company legal system within the framework of the company inthe specification operations and other aspects play a huge role.Voluminous research literature about the theory of corporate capital system, theresearchers first seen external guarantees of the Company’s capital, stressed that thecapital of the company for the interests of the creditors of the company to achieve thesecurity role. Based on this understanding, the theorists and stressed that "capitalcredit" this concept, legislative, and judicial practitioners has been largely accepted,recognized the broad-supported three capital theorist principles: the company capital,capital maintenance, the principle of constant capital.If the concept of "capital credit and capital three principles" in the "capital" in theimplications of the same, the "capital" actually refers only to companies to set upregistered capital. The registered capital of the company is to a defined number ofspecifically identified only when the amount of capital may be eligible broadly supportsthe "three principles of capital.However, the total actual assets, including tangible and intangible assets can not bestatic, to be the surviving company, operation and development, may succeed or fail inthe concrete reality of competition in the market, all of its total assets may increase orreduced. When serious insolvency situations for various reasons, regardless of theactual amount of assets, even if the actual total assets is much greater than the amountof registered capital, the interests of the creditors of the company still can not beachieved. Capital credit to the registered capital of guarantee claims occur in the futureis not of much practical significance.Examine corporate capital system change history, you can find the main function ofcapital should be the administrative function. The capital is the registered capital of thelaws and regulations. The company registered capital of the company (Prepared by) thenecessary material conditions of the entity, the company set up on the basis of a body,but not necessarily with guarantees of debt obligations of the statutory procedures.To maintain the safety and order of the market for the interests of the creditors ofthe company, no doubt, should be protected. But in order to emphasize and implementthe "three principles of capital" the practice of law is not possible to give full protection of the interests of creditors. The benefit of creditors need operating profit can beachieved, have the ability to achieve the ability to perform the debt that can be achievedonly when the company earnings. The company is making a profit its operating capacityand changes in the market, and with the establishment of the registered capital is notnecessarily linked.By ccomparison of Chinese and foreign countries capital systems, we can find thatthe capital corresponding to the company’s capital system is essentially assume twofunctions. On one side, the company’s capital regulations should facilitate investors toinvest in the right to promote economic growth. This requires reducing invest in theestablishment of the company’s market access threshold, and improve economicefficiency. On the other, the company capital system should protect the creditors of thecompany and to maintain the integrity of the market order. This is also an inherentrequirement of the market economy. Market economy emphasis on integrity, becausemany market factors are objectively affected or restricted the operating efficiency of themarket players. This would be very difficult to exclude some market players attempt toget the bad faith conduct unreasonable or illegal interests. Specific to the scope of thecorporate system, a sense of the limited liability system may be abused, thus requiringimprove the company’s capital and assets related information disclosure system and theresponsibilities of the fault of accountability mechanisms. The protection of the interestsof creditors only in the actual operation of the establishment of the company in adynamic protection impossible the establishment of the company have the potentialcreditors of the company to be protected.This article is based on the above understanding, made in data collection, analysisand argumentation. Basically divided into three parts: First, based on the history of theevolution of the company’s capital system, analysis and appraisal of the company’scapital is its center of gravity lies not guarantee, but an administrative means, widelycirculated capital credit and corporate capital Policy questioned; Second, economicanalysis and empirical analysis, concluded that the capital of the company does notassume or guarantee functions, corporate capital system can not be based on the conceptof capital credit on the legal protection of creditors of the company to improve thepractical significance of the company’s capital quota system is suppressed to a certainextent invest, thereby affecting economic development; Finally, the combination ofexisting research results and to present their views and recommendations to improve thecompany’s capital system function. Research methods used in this paper are including traditional legal analysis ofsocial phenomena, more use of the method of economic analysis of law, as well asempirical research methods.As for innovation, in the discussion of the analysis of legal issues, stressed that thetheory with the actual economic analysis methods and empirical research methods andusing a combination of paper. Similar themes in many papers, there is an obvious flaw,too much emphasis on the theory of legal issues at the expense of the real significanceof the theory, even denial of the reality of the theory test.