Key Difference: Shares and stocks both are the units of ownership in public companies.However, they differ in a technical aspect. A company creates stocks when it fixes its capital in terms of monetary amount and then sells different proportions to the investors whereas if a company creates many shares of equal nominal value and sells different number of these shares to investor, it is ... What kind of stock you issue depends on how you want to handle dividends, and whether or not you want shareholders to have a say in your business. Here are some key differences between the two types of stock. Common Stock. The holders of common stock can reap two main benefits: capital appreciation and dividends.

Common stock is the most common type of stock that is issued by companies. It entitles shareholders to share in the company’s profits through dividends and/or capital appreciation. Common stockholders are usually given voting rights, with the number of votes directly related to the number of shares owned. May 10, 2012 · The similarity between equity and capital is that they both represent interest that owners hold in a business whether it is funds, shares or assets. Furthermore, capital is used in calculation when deriving the value of equity, as shareholders equity is the sum total of financial capital contributed by the owners and the retained earnings in ...