The Money PagesDoes Owning a Share Get You Free Pizza?
Ezra mixes up owning part of a business with getting free stuff.
In a pretend classroom business, Ezra owns one of ten equal shares. He points to the make-believe pizza oven.
“Do I get one pizza out of every ten?”
Not automatically. A share is a piece of ownership in the business. It isn't a free-pizza ticket.
A company may choose to pay some money to its owners. That payment is called a dividend. But it might keep the money for the business, or have no profit to share.
Ezra writes “ownership, not lunch” on his paper share. In real life, shares can lose value. Owners can lose money.
Money words
Share
A piece of ownership in a company.
A share means part of a company’s ownership. It does not promise free products, payments, or a rising price.
