Preferred Stock Explained for Regulation A+ Crowdfunding Offerings - What You Need to Know! (Part 2)

Reg A+ Money Show

RegAMoney.com: In a previous podcast, we talked about how to get that seed money needed to help fund the filing of your initial Reg.A+ crowdfunding offering application to the SEC. In this part of the Reg.A Money Show, we answer a question from a listener who asks “What are preferred shares and how do they differ from other stock offering options?” It’s extremely important that investors and issuers alike understand exactly what preferred shares are and how they can benefit both the investor and the company issuing the stock. Preferred shares, common shares, convertible shares, series a, series b, warrants, etc... all these stock designations can be quite confusing, but when you look at preferred shares as creative devices, the picture comes in a lot clearer in its functionality and power, including voting ability, dividend payouts, and underlying value of the stock itself. Companies like Facebook use preferred stock in an interesting way – listen to this podcast episode to learn more.