Sunday 30 September 2012

The art of SHAREing

  Shares represent an ownership of part of part of a company.
When a firm wants to borrow money they usually have to either look for where to borrow money from any financial organization or give a part of their business out.If it borrows,it then has creditors which it to pay back at an agreed profit.The company also has the option to give out shares and it is this that i wish to delve into.
  Basically, shares can be common or preferred.
Features of common shares include..

  • You are a permanent owner.
  • You may be paid dividends on part of the profits earned.
  • You get paid last.
And  for the preferred shares we have.,

  • Your  shares can be revoked at any time
  • You enjoy a fixed dividend.
  • You get earlier payment than the guy with a common share

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