The reason why corporations issue corporate stock is in order to raise capital. If you buy a corporate stock share, then you become a partial owner of the corporation that sold you the stocks. The number of shares you buy from the corporation represents your interest in that corporation. This is how to become a shareholder of the corporation.
The corporation mostly sells only half of corporate stock. The remaining shares of corporate stock are sold to purchasers or on the open market through stockbrokers. Some corporations give the remaining shares of stock to their employees. Owning more than half of the available corporate stocks will give you the power to determine how the corporation conducts business. Corporatins want to maintain control of the business and this is why they don’t sell half of the corporate stocks to the public. Owning more than half of the corporate stocks will make you the controlling or majority shareholder. He will then be entitled to voting rights or dividends of the corporate profits.
Corporations issue two types of stocks namely the common stock and the preferred stock. Common stocks are usually sold to shareholders. The other type, the preferred stock is similar to a promissory note which has a fixed dividend percentage rate attached to it. If the corporation is dissolved, the common stockholders receive a share of the corporation assets. If you have a common stock it could be a voting or a non-voting stock. You can join in the election of the corporation’s board of directors if you hold a voting common stock. Non-voting stockholders cannot vote during election of the corporation’s board but they will receive a share of corporation assets when the corporation gets dissolved.
If you buy a number of stock shares in a corporation, then you will be given a document that certifies this ownership which is a stock certificate. Stock certificates are issues once you buy corporate stock shares. Stock certificates are usually signed by the corporation’s legal representatives. Your stock certificate is evidence of your ownership interest in a corporation. Owning corporate stocks mean that you can exercise your rights and privileges associated with your being a shareholder in the corporation. This is why you can have a voice and a vote in any of the shareholders’ meetings as your right and privilege as a shareholder.
It is now very easy to get your stock certificates online. You will find many sites online where you can get your free stock certificates. You can place your order by giving all the information that is asked of you in the boxes. This online stock certificates are a convenient way of getting your stock certificates. If you want to be part owner of a corporation, then buy your stocks now and get your free stock certificate online.
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