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Registering a company

How do company shares work?

As every share counts as a vote in the company, the more shares you have the more votes you have – for example, a person with 5 shares can out-vote a person with 4 shares.

The proportions of these votes depend on how many shares you have issued. For example, if you issue 100 shares and have two shareholders with 50 shares each this is exactly the same as issuing 10 shares and each shareholder having 5.

We do not advise you to issue many shares, as the number of shares increases your liability.

Shares may also carry the right to dividend and may allow the individual shareholder to benefit from the sale of the company.

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