Tracking Additional Paid In Capital (APIC)

What is Additional Paid In Capital (APIC)?

APIC represents the amount above par value that an investor has paid for their shares. This is mainly an accounting term and is tracked separately on balance sheets.

How do I track APIC in Capshare?

Since APIC is mainly only tracked in accounting, and Capshare isn’t set up to be accounting software, Capshare doesn’t track APIC separately from invested capital. Invested capital is calculated in Capshare automatically by multiplying the outstanding share count and purchase price per share.

Most private companies will assign a par value that is inconsequential, something like $0.0001 per share (some states even allow no par value to be used). If you’re trying to track these separately for accounting purposes, it may be necessary to create a custom report that subtracts the par value from the invested capital of each issuance.

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