An "Equity Stake" refers to the ownership interest that an individual or entity holds in a company, represented by shares of stock. When someone invests in a business, they may receive equity in return, which gives them a claim on a portion of the company's assets and earnings. The size of the equity stake typically correlates with the amount of investment made. Equity stakes can vary widely, from small percentages held by individual investors to large portions owned by venture capital firms or institutional investors. This ownership can influence decision-making within the company, as stakeholders may have voting rights and a say in important business matters, such as the appointment of board members or major strategic changes.