As you know, this season of the Business Owners Podcast is all about bringing you the best team of legal experts to get their top tips for Business Owners. From a practical perspective, it is so important for business owners to have the right advisory team around them, giving them the best possible chance of success in their business or business exit. As such, this week I am joined by James Tobin, one of Mills Oakley’s expert commercial litigation partners, to talk about shareholder disputes.
Unfortunately we see all too often a significant breakdown in the relationship between partners or shareholders of a business. This can cause a business which is thriving to come to a grinding halt.
In this episode, James discusses the tensions, which may lead to a shareholder dispute. His philosophy is that prevention is better than cure. As such, James provides some insights into how businesses can minimise the destructive effect that a shareholders dispute can have on a business. James explains:
- what a shareholders agreement is and the importance of having one;
- the differences between a constitution and a shareholders agreement; and
- the benefits of making concessions to achieve a negotiated outcome if things go wrong.
*Please note that any strategies discussed by Martin and James are general in nature and do not take into consideration any of your personal circumstances. You must seek individually tailored advice to ensure you properly address any issues you may have around your business.