/ˈliːɡəl ˈkæpɪtl/ – Phrase
Definition: vốn pháp định.
A more thorough explanation: Legal capital refers to the minimum amount of capital that a company is required to maintain in order to protect the interests of its creditors and shareholders. This amount is typically set by law and represents the portion of a company’s capital that cannot be distributed to shareholders as dividends. Legal capital serves as a financial buffer to ensure that the company remains solvent and can meet its obligations to creditors.
Example: The company’s legal capital requirement must be maintained in accordance with the regulations set forth by the state.