What Is a Non-Controlling Interest?

By Kristi Waterworth – Updated Apr 17, 2025 at 12:29 AM

Key Points

Non-controlling interests are any ownership below 51%, limiting decision-making power.
Investors can hold direct or indirect non-controlling interests by purchasing shares or via acquisitions.
Activist investors with 5-10% shares can influence companies despite lacking formal control.

Whether you're reading the business news or examining the recent filings of your favorite companies, terms like non-controlling interest are important to understand. They tell a story about what's owned -- and what isn't -- and the rights that go with ownership.

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About the Author

Kristi Waterworth has been a contributing real estate and financial expert at The Motley Fool, covering real estate, investing, and personal finance topics, since 2020. Kristi has been interviewed by various TV media outlets and podcasts for her real estate investing expertise – from residential real estate to digital real estate and everything in between. Kristi’s journalist career spans over 25 years, and she has written about real estate investing, homeownership, and home construction specifically for the last decade. She was also previously a licensed Realtor and general building contractor before the Great Recession and housing market collapse. She holds a bachelor’s degree in American history from Columbia College in Missouri.

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