When forming a corporation, what is a common practice for issuing preferred stock & common stock. Is there a specific % of one to the other ? Are there any benefits / drawbacks ?
9 Sep
9 Sep
When forming a corporation, what is a common practice for issuing preferred stock & common stock. Is there a specific % of one to the other ? Are there any benefits / drawbacks ?
9 Sep
10:38 pm on September 9th, 2010
Not really.
If it is an S-Corp, do not issue preferred shares. Just 1 type of stock, common stock that has voting rights and the right to receive the net assets of the corporation upon dissolution.