Being a director brings with it certain legal responsibilities as well as the demands of the business. All in all it is a demanding role and there are many ways in which the interested directors and shareholders can clash. This can be over the business’s further strategy or even what dividends and bonuses can be justified. How do you manage expectations when family members or close friends are involved? There are also statutory responsibilities!
There are ways to address this. A strong shareholder agreement will help. So will guidance on governance and responsibilities including contracts to reflect this.
Many well run businesses will have a strong balance of effective directors and involve shareholders. More often than not, the directors and the shareholders are the same people with small and even medium sized businesses.
If a problem arises that cannot be sorted out directly then involving us early to represent one or more parties or the company can assist in a major way to enable a sensible compromise to be achieved and documented as soon as possible with minimum impact on the company and its business.
If you have a query or would like to book an appointment please get in touch with our First Contact team on 01256 320555 or email firstname.lastname@example.org.
Litigation & Employment Director