Lawyers from Shanghai Nuo Di Law Firm discuss how to use control to avoid losing control of the company

 2018-09-30  1530


1. Take the majority of seats;

2. Director's right of nomination (written into the Articles of Association);

3. If the ownership is reduced, the control shall be increased;

4. Pay attention to equity structure design and class share design;

5. Control the Board of Directors if cannot control the Board of Shareholders;

6. Add outside directors, design naming rights or introduce new investors;

7. If the Board of Directors cannot be controlled, the veto shall be used;

8. Without the veto, use the option design;

9. Design good equity structure;

10. The shareholding structure is simple and clear;

11. There is a core shareholder (the big brother);

12. Complementary shareholder resources.