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Shareholders are individuals who invests in an organization and purchases shares from the organization. A shareholder who holds the shares of the organization is also the owner of the organization.
Promoters are the individuals who develops/builds the organizations business. The promoter do not necessarily have to assume the role of MD/CEO of the organization. Promoters play a pivotal role in the organizations strategical development.
Directors are individuals appointed or elected by shareholders as MD/CEO of the organization. Shareholders are also appointed as directors primarily to execute and achieve the organizations business objective.
Shareholders do not have the right to ask for a refund or dividend once they have invested, instead shares that are held by the individual can be sold in secondary markets to redeem the invested money.
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