Sentences with phrase «shareholder equity means»

Theoretically, negative shareholder equity means the stockholders owe money.

Not exact matches

While equity does not have the same restrictions as a loan, taking on additional shareholders does mean that the owner has more partners who have a right to voice their opinions about how to manage the business.

Equity financing can mean fewer future profits are kept within the company as investors and shareholders claim profits or dividends.

While this increases shareholder return, it also means that REITs are often unable to finance expansion from operating income, and instead often must issue equity and debt for expansion and growth.