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NIRMAL KUMAR E (Director)     06 November 2011

Implications of alien director incorporation

 

Ours is a startup, private limited company. We plan to dilute a certain percentage of our share holdings to expand on operations. The potential investors are not from the same business domain. In case if any of the major investor s wishes for direct involvement such as directorship we may have to think of it. At the same time we are also worried about the implications of incorporating directors whom we doubt of not sharing same vision and lack the industry knowledge. There are many positive points as well, such as

1.       They are investing comparatively bigger amounts

2.       They are prominent figures  in their domains, and can bring in real business

Can you please help on the area is to be taken care while making a decision on this?

 



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