-
Shareholder Exit Clauses: Without an Exit Clause, Your Investment May Never Come Back
Shareholder Exit Clauses: Without an Exit Clause, Your Investment May Never Come Back Kevin Jun Lin, Lawyer · Corporate Law Compass June 2026 The first lesson of starting a company is “how to get in,” and the last lesson is always “how to get out.” In the practice of equity investment, a regrettable reality is…
-
The Veto Right: A Minority Shareholder’s Shield or a Stumbling Block? — Explained by Lawyer Kevin Jun Lin
In venture capital and corporate governance practice, the “veto right” is something both coveted and feared. For outside investors holding a minority stake, the veto right is the last line of defense protecting their interests; yet for the founding team and the actual controlling party, an excessive grant of veto rights may plunge the company…
-
The Right of First Refusal in Shareholders’ Agreements: One Clause That Determines Whether You Keep Control
The Right of First Refusal in Shareholders’ Agreements: One Clause That Determines Whether You Keep Control I. A Real Case In 2023, the three founders of a Shanghai technology company ended up in litigation over an equity dispute. At the company’s founding, each held one-third of the equity. Two years later, one of the shareholders…
-
Anti-Dilution Protection: The Firewall Against Equity Dilution
Anti-Dilution Protection: The Firewall Against Equity Dilution Corporate Law Compass · Practical Series on Equity Financing Law (Part 6) In the course of its growth, a startup often has to go through multiple rounds of financing. Each round means new investors coming in and, correspondingly, dilution of the existing shareholders’ equity. This is normal business…
Online Consultation
Or scan the QR code to reach Lawyer Kevin Jun Lin on WeChat
