What is Shareholder?

The owner of a share in a joint-stock company, that is, the owner of a stake in that company's capital. A shareholder has not lent money to the company but owns part of it: when profit is distributed they may receive a dividend, they usually take part in management by voting, and they bear the risk of losing the money put into the shares. The exact scope of rights is set by legislation and the company's charter. In accounting, NAS No. 21 mentions shareholders among the founders of an entity: their debt for subscription to the charter capital is recorded on account 4610 separately for each founder.

Source: 21-son BHMS, 196-band; 21-son BHMS, 197-band