Question

What was the advantage of a joint stock company in colonization?

Answer 1

Answer:

The most important advantage of using a joint stock company was having the organization to recruit investors and raise enough money to attempt to establish a colony.

Answer 2

Joint stock companies gave England the opportunity to be major players during the era of colonization.

The greatest advantage of the joint stock company during the period of colonization was the fact that it gave the colonial organization the required capital that was needed for the establishment of a colony.

A joint stock company can be described as a company that is owned by a group of investors. Each investor is a shareholder based on the amount of shares that he bought.  

In conclusion, Joint stock company was advantageous during colonization because they were used as a source of finance given that it was too expensive for one person or the government a loan to fund.

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