Point System

Some companies use a point system in which a shareholder gets points to use as votes on a ballot. Many factors can affect the number of points allowed, including the shareholder’s position in the company and the numbers of shares the shareholder holds. There’s no rules within a cumulative voting system, which limits how many points each voter is allowed to have. Shareholders don’t need to be assigned an equal number of points.

Cumulative Voting Ballots

When it comes to cumulative voting ballots, shareholders are allowed to show the number of votes they want to give their candidate. On a statutory voting ballot, shareholders are only able to choose their candidate. They can’t specify the # of votes. Instead, the votes are dividied evenly.