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Stock

September 30, 2009 | FAQs

What is the difference between Common Stock and Preferred Stock?

Common Stock is the default voting stock of a corporation. In addition, a corporation may have non-voting common stock and preferred stock. The most important quality of Preferred Stock is a...

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September 30, 2009 | FAQs

I am setting up a corporation. How do I decide how many shares of stock to authorize?

In theory, the number is arbitrary. A corporation with three shareholders could have three authorized shares or millions of authorized shares. Typical numbers are 100,000, 1 million and 10...

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September 30, 2009 | FAQs

What is the difference between Authorized Shares (stock), Issued Shares and Treasury Stock?

Authorized Shares means the total number of shares of stock the company is authorized to issue by its Articles of Incorporation. In contrast, Issued Shares means the number of shares of stock...

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September 30, 2009 | FAQs

What is Par Value? Do I need to assign a par value to my company’s stock?

Par Value is a minimum stock price set by the corporation, such as $0.01 (1 cent) per share. Par Value an archaic concept that is not applicable to California corporations; however, Par Value...

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