PrivateTechSharesPar value
Also called: nominal value
In one line
A tiny nominal value assigned to a share in the company's legal documents, unrelated to its market worth.
In plain English
Par value is an accounting formality — often a fraction of a cent — set in the incorporation papers. It has nothing to do with what your shares are actually worth.
If you were explaining it to a 5-year-old
It's the make-believe '1 pence' price printed on a toy's label for paperwork — not what anyone would really pay.
Why it matters when you sell
Don't confuse par value with real value; it never reflects what a secondary buyer would pay for your shares.
Related terms
Put it to use
When you're ready to go deeper, there's an optional Equity Toolkit and Report.
Sources
A general market-practice term. See how we define and source the glossary in our methodology. General information, not advice.
Educational information only — not financial, tax or legal advice, and not an offer to buy or sell any security. Definitions are general; your own documents and local law govern your situation. PrivateTechShares is independent and not a broker or marketplace.