Generally speaking, equity is a right for shareholders to fulfill their capital contribution obligations, obtain economic benefits from the company's profits, and also participate in the company's operation and management. Therefore, even if the company is not listed, the company still has investors, and the shareholders of the company still enjoy the right to share dividends and the right to be responsible for the company. Company equity also has property rights and personal rights, which can bring benefits and management to company shareholders. Therefore, whether the company goes public or not does not affect whether the company has equity.
1. stock options
It is a comprehensive right of personal rights and property rights enjoyed by shareholders of a limited liability company or a joint stock limited company. That is, equity is the right enjoyed by shareholders based on their shareholder qualifications to obtain economic benefits from the company and participate in the company's operation and management.
Equity is the share of shareholders' investment in start-up companies, that is, the equity ratio, which directly affects shareholders' right to speak and control the company and is also the basis of shareholders' dividend ratio.
2. The basic meaning of fairness
Equity is the right of shareholders, which can be divided into broad sense and narrow sense. Broadly speaking, equity refers to all kinds of rights that shareholders can claim from the company; In a narrow sense, equity only refers to the right of shareholders to obtain economic benefits from the company and participate in the company's operation and management based on shareholder qualification.
Generally speaking, equity refers to the rights enjoyed by investors because of their partnership with citizens and investment in enterprise legal persons.
When investing in a partnership organization, the shareholders bear unlimited liability; When investing in a legal person, shareholders shall bear limited liability. Therefore, although both are equity, there are still differences.
3. The contents of the equity of legal person investors mainly include:
Shareholders only have the right to bear civil liability to the extent of capital contribution; Shareholders have the right to participate in the formulation and revision of the articles of association of legal persons; Shareholders have the right to be the company manager themselves or to decide on the candidate for the company manager; Have the right to attend the shareholders' meeting and decide on major issues of legal persons; Have the right to receive dividends from enterprise legal persons; Shareholders have the right to transfer their shares according to law.
The equity of the investors in the partnership organization has exactly the same rights, except for the first one mentioned above.