StakeholdersOwners/shareholders

Businesses have many different stakeholders who each have a key interest in how a business operates. Stakeholders often have influence over the decisions made by business organisations.

Part ofBusiness managementUnderstanding business

Owners/shareholders

Businessman Lord Alan Sugar
Figure caption,
As a business owner, Lord Alan Sugar is a key stakeholder

Owners are individuals that legally possess and control a business, overseeing its operations and bearing the financial risks and rewards.

Shareholders are part owners in the business. Shareholders are part-owners in the business.

Some owners appoint managers to run their businesses and to make profits for them. Other owners like to get involved in the day-to-day running of the firm. This can sometimes lead to disagreements between owners and managers.

Owners have an interest in a business doing well so that they:

  • make a profit
  • receive high

Owners can influence how a business operates by:

  • investing or withdrawing into the business
  • changing management (at )