Redeemable Preference Shares Holder †Free Samples for Students

Question: What Is the Redeemable Preference Shares Holder? Answer: Introducation The constitution consists of: Law which comprises of the Corporations Act 2001. Seal is the common seal that is used by a Company. Members include those persons, whether one or two or even more, who are involved in the business related activities of a company. Directors mean those people involved extensively in the management and control of the company. They take all the important decisions required to achieve the objectives of a company. Representative signifies the person who has been appointed under the Section 250D of the Law in the form of a representative for the company. Secretary is a person who performs for the company different secretarial duties Inspection of the Records All of the companies need to make sure that all the records and documents required by the law have been kept and maintained. All such important documents need to be present for a certain time period in the companys registered office. According to the Section 314 and Section 316 of the Constitution or the Law, the above mentioned documents have to be sent to all everyone who has been involved with the company. The Directors of the company have to decide to what extent the records and documents need to be made available to the people who are involved with the company. All such necessary records and documents are to be made available to the members and employees who have been associated with the company; instead it needs to be provided to only those specific people for a limited time period in order to maintain confidentiality. If one wishes to check the records or documents, the Director has to approve of it beforehand, failing which the employees and the members will not be allowed to have access to the documents. Directors need to be involved in maintaining the minutes of: All the resolutions that the members concerned have passed without holding a meeting. All declarations need to be made by the directors even if there happens to be only one Director. After the meetings of the Directors all the proceedings and the resolutions are to be declared. All the meetings of the committees of the Directors of the company are also to be included Redeemable Preference Shares Preference Shares are those shares the holders of which have some preferential rights over other shareholders when it comes to taking decisions for the company. The Preference Shareholders are paid dividend by the company in the entire process. The company gives the Preference Share Holders certain rights over the company which has not been provided to the Equity Share Holders of the said company. In a company the preference shareholders have been given the basic right of taking part in the excess profits that the company has earned. Along with this the Preference Share Holders, when the shares are being redeemed, have been given the right to participate in the Premium. A company has many preference shareholders. Such a company has all the rights with the help of which the shareholders will obtain all the preferential rights. Thus, no bifurcation of any type shall be taking place between any of the shareholders of the company. The company shall have the above mentioned rights involved with the preference shares that have been mentioned above. All such rights shall be made available to the Preference Share Holders of the company. So we can say that the Preference Share Holders of the company definitely have certain rights over its profits References Austliieduau.(2016).Austliieduau.Retrieved13 May, 2017,from https://www.austlii.edu.au/au/legis/cth/consol_act/ca2001172/s169.html Erik runyon | weedygardennet.(2017).Uciedu.Retrieved13 May, 2017,from https://www.law.uci.edu/campus-life/student-organizations/registration/sample-constitution.html Howtolawco.(2017).Howtolawco.Retrieved13 May, 2017,from https://www.howtolaw.co/draft-a-company-constitution-392134 Reckoncom.(2016).Reckoncom.Retrieved13 May, 2017,from https://www.reckon.com/docs/default-source/docs-forms/company-(pty-ltd)-constitution.pdf?sfvrsn=2