When you choose to form a limited company in the UK, you\u2019re given a considerable amount of choice about how you\u2019d like to set up that company. One of which is the types and quantity of shares you want to issue. Most private companies issue ‘Ordinary’ shares, which give equal rights to all members, but some companies can benefit from issuing multiple share classes. Below, we’ll take a look at what this means.<\/p>\n
Ordinary shares are ideal if you\u2019re starting a company by yourself as the sole shareholder and director, if you’re setting up with just one or two other people, or if you just want to keep things simple. However, for companies with more than one shareholder, it may be beneficial to introduce multiple share classes (types).<\/p>\n