First Step of Entrepreneurship: How Much Capital is Needed to Start a Company? Comprehensive Analysis of 2026 Capital Requirements and Reserved Business Restrictions

When many entrepreneurs prepare to start a business in Taichung, the first question that pops into their minds is often: “How much capital do I really need to open a company?” or “Does the capital amount have to be set very high?”

Since the amendment of the Company Act abolished minimum capital restrictions—meaning theoretically a company can be started with just NT$1—in practice, the amount of capital not only affects bank account openings and corporate image, but also relates to regulatory thresholds for “reserved businesses” across various industries. This article will break down key capital planning points and common minimum capital requirements for reserved businesses for entrepreneurs.

1. Four Common Myths and Practical Recommendations for Setting Company Capital

When determining capital, you shouldn’t just look at the book value during incorporation; you must consider the following three dimensions:

• ✔ Incorporation Registration Capital vs. Actual Operating Capital: Capital represents the total funds invested by shareholders into the company. It is generally recommended to prepare at least 3 to 6 months of basic operating expenses (such as rent, salaries, utilities, and procurement costs).
• ✔ Risks of Excessively Low Capital: If the capital is set too low (e.g., NT$10,000), it can easily cause partnering vendors to doubt the company’s financial soundness when applying for bank loans, government startup subsidies, public tenders, or corporate B2B collaborations in the future.
• ✔ CPA Capital Auditing/Verification: Whenever a company is incorporated, regardless of the amount, you need to engage a Certified Public Accountant (CPA) to conduct a capital verification audit to confirm that shareholder funds are genuinely in place.

2. Minimum Capital Requirements for Common Reserved Businesses

If your business activities fall under “reserved businesses” (requiring approval from competent authorities before operation), you must comply with statutory minimum capital restrictions and cannot set them arbitrarily:

3. Unsure How to Set Capital? Let a Professional CPA Help You

Setting capital not only affects the smooth progress of incorporation registration but also impacts future tax filings and shareholder rights. If you are planning to start a company in Taichung but are unsure whether your business items belong to reserved industries, or what capital amount is most appropriate, seeking assistance from a professional CPA is highly recommended.