Consideration for subscriber shares in a public company
The initial member(s)/shareholder(s) of a company (who sign or 'subscribe' their names to the memorandum of association) are known as the 'subscribers'. A subscriber to the memorandum of association of a public company must pay the company the nominal value of the shares for which he, she or it subscribes (and any agreed issue premium) in cash - section 106 of the Companies Act 1985.
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