Does a privately-held company have shares?

Answer by  patti (29325)

A privately held company might have shares split among the principals. It is common for one individual to maintain controlling stock while the other split the remaining shares.

Answer by  april1981 (59)

Privately-held companies do not have shares. Since they are not publicly traded, the worth of the company has not been divided, there for there are no shares for individuals to purchase.

Answer by  flamiss22 (5081)

It can. Sometimes the owners of the company offer shares as an incentive bonus to attract the best and brightest people especially if it is a start up cimpany.

Answer by  Christopher2600 (108)

If it is a corporation then yes. Because it is privately held the shares are not registered with the SEC and are typically given a small arbitrary value simply for accounting purposes. The owners can always transfer and create new shares as they see fit. Shares can also be sold as a private offering to raise capital.