Meaning & use

sole shareholder

noun·Advancedbusinessfinance

Last updated

UK/ˌsəʊl ˈʃeəhəʊldə/
US/ˌsoʊl ˈʃerhoʊldər/

Meanings

  1. nouncountablebusinessfinance

    A person or company that owns all the shares in a company.

    Grammar: Countable; use a/an or the before it, and it has a plural: sole shareholders.

    Patterns

    • be the sole shareholder of something
    • become a sole shareholder
    • a company's sole shareholder

    After buying out her partner, she became the sole shareholder of the business.

    The sole shareholder must approve any change to the company's articles.

    As sole shareholder, he controls every vote at the general meeting.

  2. nouncountablebusinessfinance

    A single owner who holds every voting share, giving full control of the company.

    Grammar: Often used after 'the' when the person is already known: the sole shareholder signed the deal.

    Patterns

    • the sole shareholder of a company
    • appoint someone as sole shareholder

    The sole shareholder can appoint and remove directors at will.

    When the founder died, his daughter became the sole shareholder overnight.

Word forms

pluralsole shareholders

Common combinations

the sole shareholder of the company
The sole shareholder of the company lives abroad.
become the sole shareholder
He became the sole shareholder after the merger.
the company's sole shareholder
The company's sole shareholder rejected the offer.
a sole shareholder structure
Many small firms use a sole shareholder structure to keep control simple.
the rights of a sole shareholder
The contract spells out the rights of a sole shareholder.

Synonyms and how they differ

sole owner
Focuses on owning the business itself, not specifically on holding all the shares; use it for unincorporated businesses.
majority shareholder
This person owns more than half the shares but not all of them, so it is weaker than sole shareholder.
controlling shareholder
This person can direct company decisions through voting power, which may be less than full ownership.

Opposites

minority shareholder

Word family

shareholder noun
A person who owns one or more shares in a company.
shareholding noun
The shares that a person owns, or the act of owning them.
share noun
One of the equal units of ownership into which a company's capital is divided.

Commonly confused: sole shareholder or stakeholder? sole shareholder or sole trader?

sole shareholder vs stakeholder

A stakeholder is anyone affected by a company, such as workers or customers, not necessarily an owner of shares.

sole shareholder vs sole trader

A sole trader is one person running an unincorporated business; a sole shareholder owns shares in a company, which is a separate legal entity.

Practice

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