A group of individuals who own a percentage of a business is called a shareholder. They are entitled to vote in crucial company decisions and also receive dividends from the company. They are generally concerned about the success of a company so that the value of their shares will increase. However it is true that not all shareholders are made equal and play different roles in the company.
Common shareholders are the most common kind of investors because they have shares that can be traded in a public stock you can find out more market, and are therefore more easy to obtain. They constitute the majority of the shareholding committee of a company. They are entitled to vote on specific decisions, like the selection of the board and changes to the company structure and so on. They also have the rights to scrutinize the financial reports and company documents. When a company liquidates common shareholders can claim their assets upon settling debts.
Shares of the preferred shareholders have a higher priority over other assets of the company in the event of liquidation. They are able to claim assets after other shareholders are paid off. This makes them less risky to investors. They typically consist of a mix of institutional and private investors.
Shareholders who are active buy shares to influence the management of the company and governance. They might seek an increase in dividends or a corporate restructuring in order to increase the value of their shares. These shareholders are often found in family-owned businesses since they see the project as their own, but they take care not to exceed their role and conflict with other owners.