The equity share is that share where the dividend is paid only when profits are left after paying preference dividend. Equity shareholders have voting rights. The payment of Equity shares is made only when the payment of preference share is completely made. Equity shares are redeemed only at the time of closure or liquidation of the company.

Equity shares are also called as ordinary shares of a publicly held companies.  If the company looses the money, the liabilities of equity share holders is limited to the amount he has invested in equity shares.

Equity shares are shown in balance sheet under Share Capital.