During company formation, the number of shares that can be submitted can vary depending on the jurisdiction and the specific requirements of the company's articles of association or incorporation documents. However, it is quite common for companies to initially issue a certain number of shares, often referred to as the authorized share capital or authorized share count.
While the default number of authorized shares can differ, a common practice is to set the initial authorized share capital at 1,000 shares. This means that the company is initially authorized to issue up to 1,000 shares to shareholders. This number is not set in stone and can be adjusted based on the needs and intentions of the company.
It's important to note that the authorized share capital represents the maximum number of shares that can be issued, but it doesn't necessarily mean that all the shares will be issued right away. The actual number of shares issued during the company formation process may be lower than the authorized share capital, and the company can issue additional shares in the future as needed.
The distribution of shares among shareholders is typically determined by various factors, including the initial investments made by the founders or shareholders, the ownership structure, and any specific agreements or arrangements among the parties involved. The specific allocation of shares will be outlined in the company's share register or shareholder agreement.
It's recommended to consult with legal and financial professionals or refer to the regulations and guidelines of the relevant jurisdiction to obtain accurate and up-to-date information on the process of share allocation during company formation.