The fundamental differences between the shares of founding partners in joint-stock companies and stocks.. Parliamentarian

The “Parliamentary” website, which specializes in legislative and parliamentary affairs, monitored in a report entitled: “For investors… What are the fundamental differences between the founding shares of partners in joint-stock companies and stocks?”, during which it reviewed 3 differences identified by the legislator, the most prominent of which are the share and the instrument. It also does not Establishment shares give their owners the right to interfere in the management of the company, especially since the joint stock company is one of the financial companies, all of its partners are shareholders, and its capital consists of a group of shares of equal value and are tradable.

Thus, it can be said that the joint-stock company is based primarily on the financial, not the personal, consideration of the partners, and since the joint-stock company is based on the financial, not the personal, consideration of the partners, the liability of its partners is limited with regard to the company’s debts, meaning that they are only liable within the limits of their shares in the capital, as The company acquires its legal personality independent of the partners, which are also the establishments in which the capital is divided into shares or shares.

In fact, the capital of some companies is sometimes equivalent to the budget of some countries, so the most appropriate legal form for them is joint-stock companies, which are the ideal model for embodying financial companies to implement certain projects, regardless of the identity of the shareholder. Joint-stock companies are considered one of the financial companies, and the founder in the joint-stock company is Every person who actively participates in establishing the company and bears the responsibility arising from that. He also signs the initial contract for the company, requests a license to establish the company, or provides an in-kind share upon establishment.

In the following report, we shed light on a very important problem that concerns investors and leads to confusion among many, which is the fundamental differences between the founding shares of partners in joint-stock companies and stocks. The founder is required to be a natural or legal person with legal capacity, and not to be a government or sector employee. The public or any public body and must not have previously been sentenced to a criminal or misdemeanor penalty for theft, fraud, breach of trust, or any of the penalties stipulated in Articles 162,163,164 of Law No. 159 of 1981.