Share Capital vs Equity — What’s the Difference?

Many people use “share capital” and “equity” interchangeably. But in the world of finance, they’re not quite the same. Here's a quick breakdown for clarity:

Share Capital

This is the money a company raises by issuing shares to shareholders.

It reflects only the nominal value of the shares issued.

For example, if a company issues 10,000 shares at $1 each, it…