I work on Contract D...ย โขย 21d
Ever been part of a group trip where one person books the tickets โ and everyone else has to follow along, even if they didnโt fully agree? Thatโs pretty much what Drag Along Rights do in the startup world. If a majority shareholder decides to sell the company, they can drag the minority shareholders along โ forcing them to sell their shares too, usually to a new buyer during an acquisition. It protects the majority from being blocked by a few holdouts. But remember โ it only works if itโs written into your Shareholders Agreement and Articles of Association. More such plain-English breakdowns coming up in this series. Follow for more! #StartupLaw #DragAlongRights #FoundersGuide #TermSheetTips
Honorary Mentions - ...ย โขย 1y
As a founder, your startup is your baby. But what about when that Golden Exit opportunity appears? Drag-Along Rights in your Shareholder Agreement(SHA) are crucial for ensuring a smooth acquisition process. What are Drag-Along Rights? They empower
See MoreI work on Contract D...ย โขย 20d
Ever seen someone get a wedding invite โ and they bring a plus-one who wasnโt invited but gets all the same perks? Thatโs exactly what Tag Along Rights do for minority shareholders. If the majority is selling their stake to an investor, you โ as a mi
See Moreย โขย
Bebyondย โขย 10m
Transfer Rights Clauses in SHAs from an Investorโs Perspective!! When investing in startups, a well-drafted Shareholders Agreement (SHA) isnโt just a formality, itโs the foundation that protects their financial interests and ensures strategic contro
See MoreHonorary Mentions - ...ย โขย 1y
We've covered dilation and the Board of Directors(BOD). Now, let's delve into Tag-Along RightsโAn Essential Topic Imagine your startup takes off! A major player wants to buy the company, and your majority shareholder is ready to cash in. But what ab
See MoreHey I am on Medialย โขย 10m
Do you know, We often follow the majority in our thoughts and actions, a behavior known as "social conformity." This happens because we don't want to feel left out or judged. But going along with the crowd isn't always the right choice. Groupthink ca
See MoreWordpress Developer ...ย โขย 1y
๐ Hey everyone! I'm kicking off a new challenge: 50 Days, 50 Side Hustles! Follow me on this journey to explore different ways to make money and have fun along the way. Who's ready to join me? Hit that follow button and let's hustle together! ๐ผ๐ช #
See Moreย โขย
Medialย โขย 10m
Anupam Mittal might be forced out of Shaadi.com? WestBridge had invested โฝ166 crore in the Shaadi.com back in 2006, with the expectation of an exit within 5 years. Fast forward to today, and that exit still hasn't happened. Now, WestBridge is invoki
See MoreDownload the medial app to read full posts, comements and news.