Wednesday, October 6, 2010

Business ? -

hi i am really confused!!whats share holder , steak holder and stock holder ?also if someone is a managing director of a company does that mean the business is a owned by a sole trader if this makes any sense as it doesnt to methanks :)

If you have shares in a company, you have a share of it but you do not have to own its stock (a LLC is a good example). A steak holder is somebody who has a steak in the success of a business, but may or may not have anything invested directly (If I am leasing the building to you, I have a steak in you being successful, but only so I get paid. There are many examples), A stock holder is somebody who has stock in the company. A managing director does not equal President or CEO (but it could).

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