Non-Voting Stock

Non-Voting Stock is equity that generally does not carry the right to vote on corporate matters (or has limited voting rights), though it typically retains economic rights such as dividends and proceeds in a sale. In venture and public-company structures, Non-Voting Stock can be used to separate economic ownership from control, and Non-Voting Stock may be issued alongside voting shares in dual-class arrangements.

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Ryan Roberts Startup Lawyer
Ryan Roberts is a startup lawyer with more than two decades of experience advising on venture financings and M&A transactions totaling more than $1 billion. He is the author of the Amazon bestselling startup law book Acceleration.