Why do Companies Sell Shares?
by SOLOMON
Viewed 141 Times
Companies sell shares to Raise (borrow) money from members of the public to expand their business activities in order to make more profits. They invite members of the public to buy shares and by so doing, have a say of running the company as lenders of money and owners. Shareholders expect a profit as a reward from lending their money to expand the business of the company.
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