According to article 61 of the OHADA Law of 2014, every company shall have a stated capital that is stated in its articles of association.
The stated capital represents the number of capital contributions made by members to the company, and increased, where applicable, by incorporation of reserves, profits, or share, issue, and merger premiums.
As compensation for contributions, the company shall issue securities, for a value equal to the value of the contributions.
As compensation for the incorporation of reserves, profits, or shares, issues, or merger premiums, the company shall issue securities or increase the nominal amount of existing securities. These two options may be combined.
The stated capital shall be divided into equity interests or shares according to the type of the company.
Amount of stated capital
The amount of stated capital shall be freely set by the members.
However, the OHADA Law has set a minimum stated capital according to the type or purpose of the company.
Where the capital of the company being formed is less than the minimum amount fixed by this uniform Act, the company may not be duly formed.
Where, after the formation of the company, its capital is reduced to an amount less than the minimum fixed by this uniform Act, for the specific type of company, the company shall be dissolved, unless the capital is increased to an amount at least equal to the minimum amount set, under the conditions outlined in this uniform Act.