HOW TO START? One Strategy to understand the Company law for students or professionals those who have no background of the subject i.e. Think Like a founder who is starting a "Business". Now Read it.So the first question you should ask yourself as a founder, how many people you need to start your "Company"? Minimum … Continue reading THINK LIKE FOUNDER- COMPANY LAW CONCEPTS SIMPLIFIED FOR THE FOUNDERS AND STUDENTS. (VOLUME-1)
Understanding Promoter Lock-In: Importance for Investors
PROMOTER LOCK-IN Promoter or Founder Lock-In is a standard clause in most Shareholder Agreements that prohibits the promoter/founder group to sell their shares to anyone without the prior written consent of the Investor. WHY DO INVESTORS INSIST FOR A PROMOTER LOCK-IN? Retain Skin in the game (SITG): Promoters have the maximum stake/SITG in their company. … Continue reading Understanding Promoter Lock-In: Importance for Investors
Understanding Drag-Along Rights in Shareholder Agreements
What is “Drag Along” clause in Share Holding Agreement/ equity funding term sheets? Drag-along rights allow majority shareholders to compel minority shareholders to sell their shares in the event of a third-party sale. The intent is to avoid minority shareholders blocking a sale and to secure higher valuation and strategic benefits for the selling majority … Continue reading Understanding Drag-Along Rights in Shareholder Agreements
DUCTUS EDGE 