Setting up a company

[meads58]

Hello I have a question about writing a constitution for our property company. There are 3 of us putting in an equal amount of money and I am wondering if any one has been in a similar situation. How do people deal with parties wanted to leave etc...

[CJ]

Normally a consitution is not really need. However in your situation, it would be highle recommend so that certain clauses could be inserted such as:

- option to buy out other investors
- first right of refusal
- approval of new shareholder
- sale price based on independant valuation
- etc

I would recommend you all get legal advice.

[donna]

I agree with CJ - a constitution is normally associated with a trading company. However in your situation getting good legal advice on how to protect your interest and the overall interests of the Company is critical.

Better to get this stuff out of the way at the outset. May seem an expensive option but consider it the same as insurance.

In the 'reports' section in the menu you can get a list of lawyers that have been recommended by your fellow members.

Cheers,

Donna