share market #.That is another place for raising money. In exchange for the money, companies issue shares. Owning a share is akin to holding a portion of the company. These shares are then traded in the market. Consider the previous example; your project is successful and so, you want to expand it. #.Now, you sell half of your company to your brother for $500. You put this transaction in writing – ‘my new company will issue 100 shares of stock. My brother will buy 50 shares for $ 500.’ Thus, your brother has just bought 50% of the shares of stock of your company. He is now a shareholder. Suppose your brother immediately needs $500. He can sell the share in the secondary market and get the money. This may be more or less than $500. For this reason, it is considered a riskier instrument. Михайловка, Russian Federation
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