Preferred Equity Investors in New York- Enterstate Capital
What is preferred equity? Preferred equity, also known as preferred stock or preferred shares, is a type of ownership interest in a company that combines features of both equity and debt. Preferred equity holders have a higher claim on a company’s assets and earnings than common equity holders (ordinary shareholders) but are lower in priority than debt holders in the event of liquidation or bankruptcy. Key characteristics of preferred equity include: Priority Dividends: Preferred equity holders have a predetermined dividend rate that they are entitled to receive before any dividends are paid to common shareholders. These dividends are often fixed or calculated as a percentage of the par value of the preferred shares. Limited Voting Rights: Preferred equity holders usually have limited or no voting rights in comparison to common shareholders. This means they might not have the same level of influence on company decisions. Asset Preference: In case of liquidation or bankruptcy, pre
