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Financial Encyclopedia

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Financial Encyclopedia

Net assets

Definition

Net assets equal to the total assets of an entity, minus its total liabilities. The amount of net assets matches the stockholders’ equity of a company.

More detailed

Assets include all assets of the company, except for the cost of own shares bought back from shareholders and debts of the founders for contributions to the authorized capital. Liabilities include all liabilities other than deferred income.

 

The company's net assets must be at least positive. Negative net assets testify to the insolvency of the company. This means that the company is completely dependent on creditors and has no own funds.

 

Net assets must also exceed the authorized capital of the company. Net assets less than the authorized capital are allowed only in the first year of activity of the newly created companies.

LCC “Ranks”

Aghasi Khanjyan street, 50, Yerevan, Armenia, 0025

SALES DEPARTMENT:

e-mail: sales@ranksworld.com
Irina: 

Armenia:
Marr street, 16, apt. 5, Yerevan, Armenia, 0079
Prefix LLC

CONTACTS:

e-mail: info@ranksworld.com
+35722053806

SOCIALS:

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Cyprus office:
Loutrakiou, 5, CHARA VENEZIA BUILDING, 1st floor, Office 101, Nicosia, Cyprus, 2027
Zolotukhin & Partners corporation LTD

LLC "Ranks AAA" does not provide brokerage services and does not take funds into trust management.
Legal Entity Code:53125283 Insurer code: 43715106 registered in  Ministry of Justice Republic of Armenia. 

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