Types of shares
What are shares ? what are types of shares and their important features are discussed in this blog? Table of content Meaning of shares Types of shares Meaning of shares A share is the smallest unit into which the share capital of a company is divided Total capital of the company is divided into several small individual units of a fixed amount and each such unit is called a share. The liability of a holder of shares (called shareholder) is limited to the issue price of shares acquired by him. Until the company goes into liquidation, the company shall not be entitled to return the money obtained from the shareholder by subscribing the shares as the amount so invested by the shareholder in the company is the property of the company itself. There are various rights of shareholders such as the appointment of director, attending and voting in Annual general meeting (AGM). Types of shares Generally, there are two types of shares which are...