Dilution describes a reduction in control, earnings or value of the shares due to the company issuing additional shares. If the company decides to issue more shares, an investor can experience value dilution, with each share worth less than previously, and control dilution, with the total percentage an investor owns being less than before. There may also be earnings dilution, with a reduction in the amount earned per share. However, this typically occurs if the company offers dividends, and most companies seeking crowdfunding are unlikely to offer dividends.
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