It is both good practice and prudent risk management to prepare and use a shareholders agreement for shareholders in proprietary limited companies. They can operate as a “rule book” for shareholders and also separate their private arrangements from the company constitution. A shareholders agreement should (subject to applicable legislation): define the rights and obligations of [...]
A common mode of entering into a new business with co-investors/partners is through the establishment of a new proprietary limited company in which each party holds shares equivalent to their proportional ownership. But what rules govern the interaction between the new business partners and what rights do they have in the operation of the company [...]
In the hope of expanding their businesses and opening up new horizons, many owners of growing companies are both keen and flattered when an experienced industry player shows interest in purchasing a substantial stake their business entity. Oftentimes, apart from the opportunities and prospects that come with a substantial capital injection, the advantages of bringing [...]
Firstly, if you pushed him or her in front of said bus, you’re probably off to jail. If not, then after mourning appropriately, you’d probably be wondering, ‘what happens now?’ Unfortunately, many co-owners of a business will often not turn their minds to a roadmap for the business (and the partners left behind) until such [...]
