Preference shares explained

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hello my name is go solo I'm the

co-founder and CEO of Syndicate room and

today I'm going to explain how

preference shares and that what they

typically come with which is liquidation

preferences may have an impact on your

own financial return on your own

investment let's assume that you have

invested into a company when it was

small and it was worth 4 million pounds

and let's assume you invested 1 million

pounds and got 25% on B shares at the

same time let's assume that venture

capitalists for example invested 25% for

the same 1 million as well but in

preference shares which I'm calling pref

now let now let's imagine that this

company goes on to become really

successful and out of 4 million it

actually goes up to become say 100

million pound company now the way this