Money raised by selling shares to family members and friends (private limited companies) or members of the general public (public limited companies), who have priority over ordinary shareholders with regard to dividends, and usually receive a fixed dividend. For example, the holder of £1,000 worth of 10% preference shares will receive £100 every year. Preference share dividends, therefore, are regarded as a ‘safer bet’ to ordinary shareholders. However, preference shareholders have no voting rights, and because dividend payments to ordinary shareholders are not fixed, they often receive a lower return than ordinary shareholders.