Promotional Stock Definition and Legal Meaning

On this page, you'll find the legal definition and meaning of Promotional Stock, written in plain English, along with examples of how it is used.

What is Promotional Stock?

a share in the stock of a newly formed corporation given to the prmoter for his efforts in setting up the organisation,raising capital by obtaining stock subsriptions or other sorts of finance.Promational stock is limited by most states as support is in the form of effort and not cash or assets.