Updating shareholder agreements and corporate documents in San Diego is a regular part of the evolution of a business. Situations change, laws change, new shareholders come and go and the nature of the underlying business itself is constantly developing. These factors can create the need to update a corporation’s shareholder agreement or the associated corporate bylaws.
When some corporations are started, well intentioned entrepreneurs may download forms or copy them from another existing source. Legally there can be several discrepancies between these documents that can lead to internal shareholder disputes and expensive business litigation. In many cases, your business is growing and expanding and new opportunities require updating shareholder agreements and corporate by-laws to ensure compliance, and to take advantage of new opportunities such as new investors or integrating the target of a merger or acquisition.
Clearly specifying the responsibility, roles, rights, and voting rights of each shareholder ensures your corporation the best opportunity for success. When all parties are “rowing together” your corporation can accomplish great thing. Most shareholders are interested in controlling their investment in the company while protecting that stake from outside influence or risk. You may not wish for a shareholder to sell or transfer their interest in your company to another person or entity. The corporation’s shareholder agreement and associated corporate bylaws must be crafted with precision.
Updating shareholder agreements and corporate documents is a part of corporate governance and compliance which protects the corporate veil of your company. Our seasoned business and contract attorneys provide sound business general counsel and work with our clients to implement, monitor and update important corporate documents.
The Watkins Firm has served San Diego businesses for decades, and has deep experience and expertise in these matters. We invite you to contact us or call the Watkins Firm at 858-535-1511 for a free and substantive consultation to review existing shareholder agreements and corporate documents. and to update them to reflect the growth and changes in your business and to ensure effective corporate governance and compliance.