ELI5: Explain Like I'm 5

Shares issued

Shares are like little pieces of a company that people can buy. When a company wants to get some money, they can sell some of these pieces to people who want to invest in the company.

It's kind of like if you had a lemonade stand and you needed some money to buy more lemons and sugar. You could ask your friends if they want to give you some money and in return you give them some of the profits from your lemonade stand.

So, when a company sells shares, it means they are giving people the chance to own a tiny piece of the company. These people are called shareholders.

The shares that a company sells are normally limited. This means that they only sell a certain number of shares. So, if they sell all of the shares they have, they can't sell any more.

When a company sells shares, they can get a lot of money that they can use to grow their business. But, it also means that they have to share their profits with all of the shareholders.

So, to sum it up, shares are like little pieces of a company that people can buy. When a company sells shares, they get money that they can use to grow their business. But, they also have to share their profits with the people who own the shares.
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