The shareholding percentage of a shareholder reflects the investment value of a shareholder. Commonly, a shareholder’s rights are tied to his shareholding percentage, special rights may be provided to a shareholder due to his higher shareholding percentage, and such rights fall away if such shareholder’s shareholding drops below a certain threshold. In an […]
One of the main aspects of a shareholders agreement for an investor is the mechanism through which the investor will be able to sell his shares and see the colour of money. Part 2 of this knowledge series covers the mechanism of Drag Along Right and Tag Along Right which are important mechanism pertaining to […]
A Shareholders Agreement or SHA as commonly known, is a critical transaction document in an investment transaction, it governs the rights of the shareholders of a company, provides the manner in which shareholders can deal with their shares and other important matters concerning the management and operations of the company. This knowledge series seeks […]
Knowledge Series Part 3 of 3 Part 3 – Contracts with Service Providers – Key points to consider Scope of Work and Fees: In most cases, disputes arise as expectations were not correctly set in the beginning, and both parties have a different expectation from the arrangement. It is important that both parties are aligned […]
Knowledge Series Part 2 of 3 Part 2 – Contracts with Customers – Key points to consider Scope of Work and Fees: In most cases, disputes arise as expectations were not correctly set in the beginning, and both parties have a different expectation from the arrangement. It is important that both parties are aligned from […]
Knowledge Series Part 1 of 3 Part 1 – Employment Agreements – Key points to consider Job Description and Remuneration: Responsibilities of an Employee and terms of remuneration form the basis of an Employment Agreement. It is important that the Employee and the Company are aligned from the beginning on these points. Employee’s roles and […]
The principal document governing the affairs of a Partnership Firm or a LLP (collectively referred to as “Firm”) is the Partnership Deed or a LLP Agreement (collectively referred to as “Deed”). It is critical that the understanding of the Partners is clearly captured in the Deed. Partners incorporate a Firm, with a certain commercial […]
DIRECTOR PENALTIES – ADDRESSING THE COMPLIANCE BLINDSPOT It is essential for a director to be aware of the legal compliance required by a Company to ensure that the Company is compliant with applicable laws and is not subject to fines or penalties. In order to ensure compliance, several laws have made Directors personally liable […]
Recovery of dues is a common pain point for all organizations. One benefit of obtaining a MSME registration is the availability of an additional and effective recovery mechanism under the Micro, Small And Medium Enterprises Development Act, 2006 (“MSME Act”). A registered Micro or Small entity can utilize the MSME Samadhaan portal created by the […]