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A shareholder is an owner of a company as determined by the number of shares they own. A stakeholder does not own part of the company but does have some interest in the performance of a company just like the shareholders. However, their interest may or may not involve money.
There are two ways to increase the capital stock of a company: By creating new shares or issuing new shares. By increasing the nominal value of existing shares.
Shareholder definition Shareholders are owners of the company, technically part-owners if there's more than one, but they aren't always involved in the day-to-day running of the business ? that duty is left to the directors and company management. However, company directors can also be shareholders.
A shareholder is a person or institution that has invested money in a corporation in exchange for a ?share? of the ownership. That ownership is represented by common or preferred shares issued by the company and held (i.e., owned) by the shareholder.
Unlike the owners of sole proprietorships or partnerships, corporate shareholders are not personally liable for the company's debts and other financial obligations. Therefore, if a company becomes insolvent, its creditors cannot target a shareholder's personal assets.