How does money go from my pocket, through the stock market, and to support the business I've bought stock from?

When you buy stocks , you are essentially purchasing a small ownership stake in the company . The money you pay for the stocks goes to the company , which then uses that money to fund its operations , pay its deb ts , and potentially make investments . \n \n As a share holder , you are entitled to a portion of the company ' s profits , which are distributed to share holders in the form of divid ends . The amount of divid ends you receive is typically based on the number of shares you own and the company ' s overall profit ability . \n \n In addition to divid ends , the value of your stocks can also increase or decrease based on the company ' s performance and market conditions . If the company performs well and its stock becomes more valuable , you may be able to sell your shares for a profit . \n \n Over all , when you buy stocks , you are investing in the company and its potential for growth and profit ability . The money you pay for the stocks goes towards funding the company ' s operations and potentially generating profits for you as a share holder . </s>