Funding and ownership
Pre-emption rights
Existing shareholders' right to buy new shares before they're offered to anyone else, so they can keep their percentage. Also applies to shares being sold by other shareholders.
A plain-English explanation, not financial or tax advice. Rules and rates change, so check your own situation. For free, impartial guidance, try MoneyHelper. Disclaimer.
You'll hear it as
The angels used their pre-emption rights to keep their 5 per cent.
Related terms.
Videos.
No video mentions Pre-emption rights by name yet. These are on the same topic, Business & startups.