Business divorces take place in all types of private companies, including those owned and operated by family members. But families that are willing to engage in thoughtful planning can head off some of the internal conflicts...more
Fast-growing private companies are exciting to observe as outsiders, but on the inside the company founder has the challenge of securing enough capital to fuel the rapid growth of the business. The company’s continuous need...more
Private company owners strive for success but getting there is not an easy or straight path. I have been working closely with business owners now for more than 40 years, and I have been reflecting on the key character traits...more
Majority owners of private companies have many important decisions to make, but one of their most impactful will be selecting the people to serve as the company’s managers (for LLCs) or as directors on its board (for...more
As the year winds down, majority owners can hit the ground running in the new year if they adopt business resolutions that motivate their executive group and create the potential for the company to reach new heights. The...more
12/13/2023
/ Board of Directors ,
Business Entities ,
Business Ownership ,
Corporate Governance ,
Corporate Management ,
Employees ,
Majority Shareholders ,
Managers ,
Minority Shareholders ,
Shareholders ,
Transparency
The one who has the gold often makes all the rules, but the majority owner of a private company who has minority partners in the business does not have complete freedom, because majority owners owe duties that apply to their...more
11/21/2023
/ Business Divorce ,
Business Litigation ,
Business Ownership ,
Confidential Information ,
Corporate Governance ,
Disclosure Requirements ,
Documentation ,
Fiduciary Duty ,
Financial Statements ,
Majority Shareholders ,
Minority Shareholders ,
Private Company Shares ,
State and Local Government ,
Texas
Following a challenging year for business owners, the time to decompress and celebrate with family and friends this holiday season provided a necessary respite. When business resumes, however, there are important action items...more
The “Great Resignation” as it has been called reflects the large number of employees leaving the traditional workforce, and many of those departing employees are leaving hourly or salaried positions to start their own new...more
3/29/2022
/ Acquisitions ,
Buy-Sell Agreements ,
Bylaws ,
C-Corporation ,
Corporate Counsel ,
Corporate Governance ,
Initial Public Offering (IPO) ,
Investment ,
Investors ,
Limited Liability Company (LLC) ,
Minority Equity Investments ,
Offering Documents ,
Risk Management ,
Startups
The seven-year anniversary of the Texas Supreme Court’s decision in Ritchie v. Rupee has come and gone, and the court’s holding from 2014 remains the law: Minority shareholders in Texas private companies do not have a cause...more
3/8/2022
/ Breach of Contract ,
Business Divorce ,
Business Litigation ,
Business Ownership ,
Closely Held Businesses ,
Corporate Governance ,
Derivative Suit ,
Documentation ,
Fiduciary Duty ,
Fraud ,
Majority Shareholders ,
Minority Shareholders ,
Private Company Shares ,
State and Local Government ,
Texas
Private company majority owners and minority investors often focus on the company’s financial health and growth prospects, and may not take the time to review the operating documents of the business – bylaws for corporations...more