Shareholders’ Right to Receive Dividends in Joint Stock Companies

  • Joint stock companies are entities where shareholders’ participation is based on their capital, and their responsibility is limited to the stipulated capital.
  • The main aim of joint stock companies is to make a profit and distribute dividends to their shareholders.
  • Dividends are defined as amounts decided within the scope of general assemblies policy and distributed to the shareholders.
  • Dividend distribution is important for attracting new shareholders and protecting existing ones, while also ensuring necessary investment for company growth.
  • According to the Turkish Commercial Code, determining and distributing dividends is a non-transferable duty and power of the general assembly, and it is calculated based on the net profit of the period and the capital share payments made by shareholders.

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