when companies issue no par value stock the price may experience natural variations a no par stock s sale price can be determined by the basic principles of supply and demand fluctuating as necessary to meet market conditions without being misrepresented by the face value 
some states forbid corporations from issuing no par stock special considerationsif a business releases stock with a low par value of 5 00 per share and 1 000 shares are sold the associated book value of the business can then be listed as 5 000 if the business is generally successful this value may be of no consequence but if the business collapses while currently owing a creditor 3 000 the indebted company may call for a review of the delinquent company s accounting statements which may reveal that the failed business was not fully capitalized this can prompt the owed business to exercise its legal right to require shareholders to contribute to the repayment of the debt no par value stock vs low par value stockno par value stocks are printed with no face value designation while low par value stocks may show an amount lower than 0 01 all the way up to a few dollars many times when a smaller company seeks to lower the number of its shareholders it may choose to issue stocks with a face value of 1 00 this small amount can then function as a line item for accounting purposes 