None. The board members do not need to be share holders, and a majority share holder is not automatically placed on the board, though with majority share, they can surely vote themselves in.
It is generally a requirement that all members of a board of directors hold stock in the company.
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yes it is..
A corporation is managed by directors and officers. Directors act as a group known as a board of directors. The board of directors is the corporation's governing body. It manages the corporation's business and affairs and has the authority to exercise all of the corporation power. How a corporation is controlled? The term "corporate control" refers to the authority to make the decisions of a corporation regarding operations and strategic planning, including capital allocations, acquisitions and divestments, top personnel decisions, and major marketing, production, and financial decisions.
Stock certificates nowadays are mainly used to demonstrate ownership and transfer of ownership to someone else.
In public corporations, ownership is dispersed among shareholders who own shares of the company's stock. Shareholders elect a board of directors to oversee the corporation on their behalf. Ultimately, the shareholders have ownership rights, but they delegate decision-making to the board of directors.
A corporation is owned by its shareholders, who hold ownership in the form of shares of stock. Shareholders elect a board of directors to oversee the corporation's management on their behalf.
DefinitionCompany stock represents a claim of ownership on the assets and earnings of the company. For this reason company stock is also known as "shares" or "equity." Company stock has three main features: ownership rights, voting rights and limited liability. The percentage of ownership that an investor has in a company is proportional to the shares owned by the investor. Each share of common stock grants the investor the right to one vote that can be used to elect the board of directors of the company. Therefore, investors who have higher percentage of ownership have a greater say in the corporate decisions. All stockholders enjoy limited liability. This means that if the company goes bankrupt, their loss is limited to their investment.
Board of directors
It is generally a requirement that all members of a board of directors hold stock in the company.
they are determined by the board of directors
No. Ownership is measured by the percentage of stock owned in a company, but there are different classes of stock. Non voting prefferred stock represents an ownership interest in the company and usually pays a required set dividend at a set interval such as quaterly, semi-annualy or annually. The per share dividend is always the same, but the more preferred shares you own the more you receive. In the event the company liquidates, preferred stockholders get paid first. However, preferred stockholders have no say in company decisions. Preferred stock is often convertable to a certain number of shares of common stock. Voting common stock pays a dividend whenever the board of directors declares a dividend per share in an amount per share determined by the board. The more stock you own, the greater the total dividend you receive. Common stockholders elect the officers and board of directors of the company, and may vote on other issues as well that are put before them by the board.
They oversee a company and answer to stock holders. The board of directors provides the company with direction and advice. It is the responsibility of the board of directors to ensure that the company fulfills its mission statement. In doing so, the board of directors frequently sets the company's policy objectives. A good board of directors should include knowledgeable and experienced business people. From: http:/www.wisegeek.com/what-does-a-board-of-directors-do.htm A board of directors should NOT be made up of friends and relatives; one or two members can be friends or acquaintances if they are business people or experienced board members.
stock holders.
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In general, both the stock and commodities exchanges are governed by a board of directors who are elected from the membership of the exchange
The president (as in most cases the CEO) is chosen by the board of directors, a group elected by a vote of the corporation's stockholders. Note: In small corporations, it is the incorporator, (the person that filled in the paperwork and paid the fee, seeing that they own all the stock