C-Corporation FAQs

What is a stock's par value?

Par value is a nominal dollar amount given to corporate shares. It doesn't necessarily reflect their real value, and is typically set at a low value. The par value of a share is the minimum price at which it may be sold to shareholders, and the par value must be the same for all shares of the same class. The shares can be sold to the initial shareholders, at par value or more, but the price must be the same for each share.


Is this helpful? Rate It :
« Previous | Next »