why our share still available so I got a
question from one of my youtube viewers
love you guys hossein who wrote in this
a dear Reverend thank you for the help i
appreciate if you could include the
answer this question as well this may
look stupid but can you elaborate how
come company shares are still available
after all these years of selling on the
nasdaq new york stock exchange many of
the chairs are already acquired by the
owners found their ceos and so on and
they mmmm for people to buy for so long
how come there are still shares
available so this might be a basic
question but it’s not a stupid question
hey if you have questions you got to get
answers you want to be able to make
decisions you need answers to your
question so don’t be afraid to ask them
okay to answer this question let me work
through how companies typically raise
money and hopefully get the inspiration
of the video at the beginning when a
company’s started it started by one
person or a couple people you guys on
all the shares right if it’s one founder
you one-hundred percent of the shares if
you’re in a partnership you may own
fifty percent of the chairs or 33 and a
third depending on how you split it up
with your partners as you grow a lot of
these companies look for funding you
look for financing and typically how you
start is you go to an angel investor so
if you want one hundred percent of your
company you go to an angel investor say
you give up ten percent of your business
okay give up ten percent of your
business you are trading shares in your
company for money so they’re paying you
let’s say a hundred thousand dollars and
you give up ten percent of the shares so
now they own those shares you owe 90-day
own tent as you keep growing typically
you go from angel investor to venture
capitalists a venture capitalist is not
one person but a group of angel
investors who pulled their money
together or a company who wants to fund
new businesses and make some money doing
it and it’s the same idea that was an
angel investor you are selling a part of
your company to another company now who
will own a piece of you’re the only
piece your company then and return
they’re giving you money a lot of times
a goal for a VC for venture capital is
to take you public and going public
selling your shares on the New York
Stock Exchange the Nasdaq it’s very
similar to selling shares to an angel
investor or to a venture capitalists
okay you are giving up up
% of your business but not to one person
not to a company but to hundreds of
thousands or millions of people any
individual investor can go and buy your
share if you’re sure it’s 100 bucks I
could put a hundred dollars into your
company and I own one share of your
business so if you go public so you give
up half of your company okay you’re
going public you so long half your
shares the other half are owned by the
masses the reason why the shares are
still available is that people are
buying and selling them okay you may
still hold on to all your shares the
angel may still hold on the shirt the vc
vc typically wants to get out so they’ll
be selling their shares and there’s all
these people who own the shares but
there’s people who want to buy it too
and so the stock price is determined by
people making that exchange they want to
buy the shares and you want to sell the
shares and it not may not be used
specifically in the business but any
shareholder right if I by Google and it
doubles in price I might be thinking hey
I want to get out of Google I want to
make some cash so I’m now willing to
sell my shares and other people willing
to buy so there are no new shares being
made right there’s no new shares you’re
not saying hey I’m I’m adding a million
new shares to the market that sometimes
does happen but it’s it’s rare there’s
no new shares that we’re creating here
it’s just the ones that are already
outstanding the ones that are already
out there are being bought and sold so
let me give you another example say you
wanted to buy so you want to buy 2500
civic okay you wanted to buy an 05 honda
civic for whatever reason there are no
new o 506 being made the none that are
new ones being made this is at 05 honda
civic but you can go and buy one because
somebody who has that 05 honda civic is
willing to sell it you have to come to a
price you know if you offer them a
hundred bucks they may not take it you
offer them five grand maybe they’ll take
it right so you have to set the price
but there’s somebody willing to sell it
it’s the same thing happens with your
with your shares with the stock prices
right there are no new shares being made
but the ones that are out there are
being bought and sold depending on what
the price is now in the rare
circumstances some companies will also
buy back their stocks so there’s few
her shares on the market or in some
extreme cases they’ll go private so
examples mary kay ash she had Mary Kay
Cosmetics she launched her company she
grew it to big success she raised public
money she took a public she put on the
stock exchange she got a boatload of
cash from it she used it to expand her
business she didn’t like the direction
that it was going having to pee
shareholders so she bought back all the
chairs back from them and then she owned
the whole company again and then in that
case there are no more shares because
she owns them all and she’s going to
give them up but usually there’s a
certain percentage of the shares that
are owned by the general public owned by
individual investors and they’re always
willing to sell it if it’s at the right
price and so that’s what the stock
market facilitates is people buying and
selling shares of existing companies
when they can agree on the price so
hopefully that helped answer your
question not a stupid question if you
have more let me know what they are I’ll
do my best to answer them for you if you
guys like this video thumbs up below let
me know what you think leave a comment
on their knees ask me a question like a
video reply and you want to see more
videos like this click on my face
subscribe to the channel thank you so
much I’ll see you soon
question from one of my youtube viewers
love you guys hossein who wrote in this
a dear Reverend thank you for the help i
appreciate if you could include the
answer this question as well this may
look stupid but can you elaborate how
come company shares are still available
after all these years of selling on the
nasdaq new york stock exchange many of
the chairs are already acquired by the
owners found their ceos and so on and
they mmmm for people to buy for so long
how come there are still shares
available so this might be a basic
question but it’s not a stupid question
hey if you have questions you got to get
answers you want to be able to make
decisions you need answers to your
question so don’t be afraid to ask them
okay to answer this question let me work
through how companies typically raise
money and hopefully get the inspiration
of the video at the beginning when a
company’s started it started by one
person or a couple people you guys on
all the shares right if it’s one founder
you one-hundred percent of the shares if
you’re in a partnership you may own
fifty percent of the chairs or 33 and a
third depending on how you split it up
with your partners as you grow a lot of
these companies look for funding you
look for financing and typically how you
start is you go to an angel investor so
if you want one hundred percent of your
company you go to an angel investor say
you give up ten percent of your business
okay give up ten percent of your
business you are trading shares in your
company for money so they’re paying you
let’s say a hundred thousand dollars and
you give up ten percent of the shares so
now they own those shares you owe 90-day
own tent as you keep growing typically
you go from angel investor to venture
capitalists a venture capitalist is not
one person but a group of angel
investors who pulled their money
together or a company who wants to fund
new businesses and make some money doing
it and it’s the same idea that was an
angel investor you are selling a part of
your company to another company now who
will own a piece of you’re the only
piece your company then and return
they’re giving you money a lot of times
a goal for a VC for venture capital is
to take you public and going public
selling your shares on the New York
Stock Exchange the Nasdaq it’s very
similar to selling shares to an angel
investor or to a venture capitalists
okay you are giving up up
% of your business but not to one person
not to a company but to hundreds of
thousands or millions of people any
individual investor can go and buy your
share if you’re sure it’s 100 bucks I
could put a hundred dollars into your
company and I own one share of your
business so if you go public so you give
up half of your company okay you’re
going public you so long half your
shares the other half are owned by the
masses the reason why the shares are
still available is that people are
buying and selling them okay you may
still hold on to all your shares the
angel may still hold on the shirt the vc
vc typically wants to get out so they’ll
be selling their shares and there’s all
these people who own the shares but
there’s people who want to buy it too
and so the stock price is determined by
people making that exchange they want to
buy the shares and you want to sell the
shares and it not may not be used
specifically in the business but any
shareholder right if I by Google and it
doubles in price I might be thinking hey
I want to get out of Google I want to
make some cash so I’m now willing to
sell my shares and other people willing
to buy so there are no new shares being
made right there’s no new shares you’re
not saying hey I’m I’m adding a million
new shares to the market that sometimes
does happen but it’s it’s rare there’s
no new shares that we’re creating here
it’s just the ones that are already
outstanding the ones that are already
out there are being bought and sold so
let me give you another example say you
wanted to buy so you want to buy 2500
civic okay you wanted to buy an 05 honda
civic for whatever reason there are no
new o 506 being made the none that are
new ones being made this is at 05 honda
civic but you can go and buy one because
somebody who has that 05 honda civic is
willing to sell it you have to come to a
price you know if you offer them a
hundred bucks they may not take it you
offer them five grand maybe they’ll take
it right so you have to set the price
but there’s somebody willing to sell it
it’s the same thing happens with your
with your shares with the stock prices
right there are no new shares being made
but the ones that are out there are
being bought and sold depending on what
the price is now in the rare
circumstances some companies will also
buy back their stocks so there’s few
her shares on the market or in some
extreme cases they’ll go private so
examples mary kay ash she had Mary Kay
Cosmetics she launched her company she
grew it to big success she raised public
money she took a public she put on the
stock exchange she got a boatload of
cash from it she used it to expand her
business she didn’t like the direction
that it was going having to pee
shareholders so she bought back all the
chairs back from them and then she owned
the whole company again and then in that
case there are no more shares because
she owns them all and she’s going to
give them up but usually there’s a
certain percentage of the shares that
are owned by the general public owned by
individual investors and they’re always
willing to sell it if it’s at the right
price and so that’s what the stock
market facilitates is people buying and
selling shares of existing companies
when they can agree on the price so
hopefully that helped answer your
question not a stupid question if you
have more let me know what they are I’ll
do my best to answer them for you if you
guys like this video thumbs up below let
me know what you think leave a comment
on their knees ask me a question like a
video reply and you want to see more
videos like this click on my face
subscribe to the channel thank you so
much I’ll see you soon
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