Are there different types of shares?
A company may have as many different types of shares as it wishes, all with different conditions attached to them. Generally share types are divided into the following categories:
Ordinary As the name suggests these are the ordinary shares of the company with no special rights or restrictions. They may be divided into classes of different value.
Preference These shares normally carry a right that any annual dividends available for distribution will be paid preferentially on these shares before other classes.
Cumulative preference These shares carry a right that, if the dividend cannot be paid in one year, it will be carried forward to successive years.
Redeemable These shares are issued with an agreement that the company will buy them back at the option of the company or the shareholder after a certain period, or on a fixed date. A company cannot have redeemable shares only.
BACK TO COMPANY REGISTRATION GUIDANCE
Source:
http://www.companieshouse.gov.uk/about/gbhtml/gba6.shtml#one
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