Shareholder's Day is celebrated on the 23rd of january to remember the Reliance family of shareholders. On this very day, 25 years ago, 57,949 people started the Reliance family of shareholders. On this day special relationship of trust is celebrated by dedicating this day to shareholders.
To start a big business or an industry, a large capital is needed, But one or two individuals cannot contribute this amount. However, if some persons associate together to form a company, which is registered under the Indian companies Act, it is known as a Joint Stock Company. The required capital is divided into equal and small units which are called shares. The person who subscribs shares is called a shareholder. Thus a great dream of a big industry could be achieved through being a tiny shareholder of a joint company.
Those who purchase the shares of the company get certain percentage of the profit of the company every year. The value of a share may be Rs.10 or Rs.100. Some people who consider the investment in the company profitable, they apply for these shares. When one is alloted shares by the company, certificates are issued to him by the company, which is called share certificates. When a company starts making a profit during a financial year. a fixed part of the profit is distributed among the shareholders in proportion to the number of shares held by them. The Profit is distributed amongst shareholders is known as dividend.
