Company Promoter: Meaning & Role

This appeared originally as my answer to a question on Quora, which can be found here: What is a company promoter?

Promoters are the ones that help in raising funds for a particular venture through various investment options in growing a company/entity. The investment options that a promoter may offer to potential investors could be in the form of selling equity in the company in lieu of cash, or bringing in personnel and offering them sweat equity to grow the company along with retainer fees or salaries. Promoters can be the original founders of the company, and they can be involved in an executive manner in the workings of the company or they can just be involved in a more non-active manner, like just to help raise funds.

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