Equity Capital refers to capital provided by owners of a business, Equity Capital is denominated in form of Equity Shares, Investors by Equity shares to become shareholders, There are two type of share holders

Inside share holders are the promoters who start the company with their funds & entrepreneurial skills, Large institutional investors may subscribe for the same & become Inside Share holders

Outside Shareholder are the members of public, who Invest in company’s equity shares at a later stage which will help in subsequent expansion of business