So you’ve just come up with a great business concept, given it a test-drive among your family and friends, and now want to go to the next stage. What do you do? You need to put together the ‘playing field’ for your venture. In other words, you need a ‘business structure’.
Well drafted ‘pre-emption’ clauses in a Shareholders Agreement or Constitution provide you with important protections. But there are a number of potential traps that you need to be aware of.
When you first read these clauses it isn’t always clear what they are trying to achieve, and why you would include them in your Shareholders Agreement (or Constitution).
Have you thought about what would happen to your company if you became incapacitated, or worse, if you died? Who would pay the bills, and enforce the company’s rights?
There is a wealth of “free” legal information on the web, so why would you pay for legal advice? We provide five good reasons why consulting a lawyer upfront can save you money down the road.
This article discusses the practical impact of the change-over to a National Business Names Register administered by ASIC.