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Equity is one way of financing the business. Equity represents ownership. It is important to know what shares are and who shareholders are. Knowing how one can become the owner by investing in the business, helps. Determining the percentage ownership in a company there by understanding the ownership rights in that business, is the first step to understanding Equity. Keywords: Shares, Equity, Shareholder, Stock, Understanding Equity, Shareholder rights, Ownership
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