Preferred stock
Preferred stock, or preferred shares, are shares typically granted to certain shareholders in a company to give them greater financial benefits than other shareholders.
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What is preferred stock?
Preferred stock, or preferred shares, are shares typically granted to certain shareholders in a company to give them greater financial benefits than other shareholders.
Generally, preferred shares are granted to investors in a startup. They offer certain benefits over common shares, such as priority in receiving payments in the event of a liquidation and priority in the distribution of dividends.
