Voting Rights
Definition
Voting Rights: Voting rights give shareholders the ability to vote on corporate matters like electing directors, approving major transactions, and amending bylaws. The number of votes typically equals the number of shares, though some companies create special voting structures.
Example Usage
“Our dual-class structure gives founders 10 votes per share while investors get 1 vote per share.”
Common Misconceptions
Related Terms
Common Stock
Common stock is the standard ownership class, typically held by founders and employees. Common shareholders have voting rights but are last in line fo...
Preferred Stock
Preferred stock is a class of ownership with rights superior to common stock, typically held by investors. Preferences usually include liquidation pre...
Board of Directors
The board of directors is a group of individuals elected to represent shareholders and oversee company management. The board approves major decisions,...
Related Tools
Explore More Resources
Browse Tools
Discover 100+ vetted tools for every stage of your startup journey
Explore all toolsBuild Your Stack
Take our personalized quiz to get tool recommendations for your startup
Start the checklistRecommended Reading
Curated books to help you learn, grow, and succeed as a founder
View book recommendationsListen & Learn
Top podcasts covering startups, product, growth, and entrepreneurship
Discover podcastsHelp us improve this definition
See something that could be clearer or more accurate? Let us know.