Easy way to learn and memorized – class 12th – S.P – Notes of source of business finance – Discussion – Share Certificate and Share warrant – HSC Board – Difference between share certificate & Share warrant , Distinguish between Share Certificate & Share warrant – sources of business finance – Secretarial Practice – Notes, & Distinguish Between – according to the New Textbook for HSC Board – Difference between, Study material, studies notes, study notes.
|Sr.No||Points||Share Certificate||Share Warrant|
|1.||Meaning||A share certificate is the registered document of title to the shares, issued by the company under its common seal.||A share warrant is a bearer document share issued by the company under its common seal, duly stamped & signed by at least two directors of the company.|
|2.||To whom issue the document?||Both private as well as public companies||only by public limited companies.|
|3.||Time of Issue||A company initially (at first) has to issue share certificate.||It is issued only in case of fully paid shares.|
|4.||Approval||Share certificate doses not require the approval of the central government.||share warrant requires prior approval of the central government.|
|5.||Transfer||share certificated is a registered document of the title to the share.||share warrant is a bearer document it can be transferred.|
|6.||Provision in the Articles||Provision to issue share certificate is not necessary in Articles.||Articles must provide for issue of share warrant.|
|7.||Stamp Duty||The stamp duty on issuing share certificate is nominal.||Heavy stamp duty is to be paid on the issue of share warrant.|
|8.||Negotiability||Share Certificate is not a negotiable (transferable) document.||Share Warrant is a negotiable document. Anyone holding the instrument can get the ownership of shares.|
|9.||Distribution of dividend||dividend is paid through dividend warrant posted by the company at the registered address of the members.|
Dividend is paid though dividend coupon.