Unrestricted equity is the part of equity that is not restricted and can therefore be used for dividends or repayment of a shareholder contribution. It includes retained profits.
A dividend must fit within unrestricted equity under the Companies Act. The decision on a dividend is made by the general meeting.
Equity is the difference between a company's assets and its liabilities.
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A dividend is when a limited company distributes part of its profit to its shareholders.
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A shareholder contribution is capital an owner injects into the company without receiving new shares.
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The general meeting is the highest decision-making body in a limited company, where shareholders make decisions.
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