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What are Stock Certificates?

In order to raise capital, corporations issues corporate stock. Anyone who buys Corporate Stock becomes a partial owner of the Corporation which issued the Corporate Stock. Your interest in the corporation is shown in the number of shares you bought from it. And he becomes a shareholder of the corporation.

The corporation mostly sells only half of corporate stock. The other half of the unretained stocks are then sold to individuals or through a stockbroker. There are corporations where their employees get the remaining shares of stock of the corporation. You have the power to determine how the corporation conducts business if you own more than half of the corporate stocks available. And this is why most corporations try to own more than half of the corporate stock. Owning more than half of the corporate stocks will make you the controlling or majority shareholder. Then you will have the right to vote or the right to receive dividends from the corporate profits.

The common stock and the preferred stock are the two different types of stocks that a corporation can issue. Common stocks are issued to shareholders. The other type, the preferred stock is similar to a promissory note which has a fixed dividend percentage rate attached to it. If the corporation is dissolved, the common stockholders receive a share of the corporation assets. You can have a voting or a non-voting common stock. If you hold a voting common stock, you are able to elect the board of directors of the corporation. Even if you are a non-voting common stockholder, then you will receive a share of the corporation’s assets upon its dissolution.

A stock certificate is issued by the corporation to signifies your ownership of stock shares in the company. A stock certificate is given to anyone who buys corporate stock shares. These stock certificates are signed by legal representatives of the corporation which is issuing the stock. Your stock certificate is evidence of your ownership interest in a corporation. If you own corporate stock, then you are able to exercise all rights and privileges associated with being a shareholder in the corporation. The rights and privileges that you can exercise as a shareholder include having a voice and a vote in shareholders meetings.

If you have bought stocks from a corporation and you need your stock certificates, then you can simply apply for it online. You will find many sites online where you can get your free stock certificates. You can place your order by giving all the information that is asked of you in the boxes. This online stock certificates are a convenient way of getting your stock certificates. With your stock certificates, you are now certified part owner of the corporation you have bought your stocks from.

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