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About kevin kemper
Expertise
IN my 34 + years with prospective entrepreneurs aged 7 through age 77, in Canada, Mexico and elsewhere; both directly and through my TV show and newsletter on Entrepreneurship, have advised on: starting a business, writing a business plan, finding staff, setting compensation plans, when to joint venture or consider a franchise, have a partnership or corporation structure, when to start a biz vs buying. Currently tutoring individuals in S. Africa, Bangladesh, India, China, Australia and Brazil. [My incomplete book is entitled Assured Entrepreneurial Success]

 
   

You are here:  Experts > Business > Small Business Information > Venture Capital & Stock > Capital vs Common Stock

Topic: Venture Capital & Stock



Expert: kevin kemper
Date: 1/24/2006
Subject: Capital vs Common Stock

Question
Can you explain the difference between capital stock and common stock?  When starting a corp do you have to have certificates for both?

Answer
capital stock - definition of capital stock - The number of shares authorized for issuance by a company's charter, including both common stock and preferred ..
[www.investorwords.com/732/capital_stock.html - 21k]

cert's are required only if you have outside parties
who need them.  [outside the family or close friends].

they are almost useless in anything but a public firm.

here to help more if needed
thanks for asking

kkemper1@mindspring.com

[also at msn and yahoo messenger]

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