What is identification partners or principal shareholders?

Question

What is identification partners or principal shareholders?

Answer 1

Hi!! Partners are firm not a company, and as such own all the business and are fully responsible for their own profit or loss, and any mistakes they may make.

Principal shareholders are those holding the majority of the shares in a company. Mostly the CEO, or in some cases the big block share holders like the holding companies.

The business does always belong to its share holders, and the board is always beholding to those holding the shares however large or small holdings.

Then at the annual general meeting those shareholders dictate the policy of the company for the following year.