Being an artificial legal person, a company requires some capital for business purpose. The authorized capital is mentioned in the memorandum of Association a company. It is registered with the registrar of companies. A company can issue the share maximum up to the authorized capital.  A part of authorized capital of the Company allotted by the company is called issued capital. Issued capital also includes the shares taken by the subscribers to Memorandum of Association at the time of formation of company.