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Share holder is anyone who buys and holds the equity shares of a company,
Promoter is the one who promotes his business idea and if needed he goes to the public and makes an IPO
Director is usually the person who is appointed by the board of directors (elected by the share holders) who supervises all the activities inside an organization.
A company might have thousands of shares. A person who owns even one of these several shares is called a share holder.
A promoter might necasarily not be the owner of the company. The promoter of the company is the person who has promoted the company in one way or the other or has been responsible for the growth of the company. The promoter couldve retired/ sold the company to another.
Share holders are the owner of the company because they share a capital and profit and assets so they are also owner of the company and promoter is a person one who promoters the business in the initial stage it’s not necessary that the promoters should be the owner of the company at any point when promoters thinks he can exit the company. the director is incharge of the company and he is the responsibility the share holder choose the directir and CEO and mostly they will hold the particular percent of stock.
Share holder – People who bought shares of a company in Primary or Secondary Market are called Share holder.
Role of share holder – share holder is also the owner of the company.
Promoter – Person who promotes idea for formation of the company is called Promoter.
Role and Rights of Promoter – Promoter need not be the owner of the company.
Director – Person who runs the company is called Director.
Role and Rights of Director – Directors are responsible for overall supervision of the Company. Director has rights in Profit share. He has rights in declaring dividends.
- Shareholder is the owner of the part (albeit small or bigger part) of the company. Eligible for the profits made by the company.
- Promoter is the one who raised the idea from the scratch & created the company with the investments from the shareholders. May or may not be the shareholder at current times.
- Director is responsible for the decisions made by the company; Appointed by the majority of the shareholders; May or may not be a shareholder.
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