by TheBusinessProfessor | Feb 23, 2025 | Business Entities, Corporate Governance & Ownership
What are Outstanding Shares?The outstanding shares of a company refers to the total amount of shares that have been authorized, issued, and purchased by the shareholders of the company. Outstanding shares are shares of a company held by its shareholders, the...
by TheBusinessProfessor | Feb 23, 2025 | Business Entities, Corporate Governance & Ownership
What is a Shotgun Clause?A shotgun clause refers to a type of exit strategy used in business partnership or used by shareholders. It is a buy-sell agreement that exist between partners which forces a partner to sell their stake in the business or shares and can also...
by TheBusinessProfessor | Feb 23, 2025 | Business Entities, Corporate Governance & Ownership
What is a Family Limited Partnership?Affluent families tend to move wealth from one generation to the other, they do this through diverse means. A Family Limited Partnership (FLP) is a type of business that allows the transfer of business, wealth and financial assets...
by TheBusinessProfessor | Feb 23, 2025 | Business Entities, Corporate Governance & Ownership
What is a State-Owned Enterprise?A state-owned enterprise (SOE) refers to a business enterprise that is owned and controlled by the government, whether wholly or partially. A state-owned enterprise runs commercial activities to generate money for the government, such...
by TheBusinessProfessor | Feb 23, 2025 | Business Entities, Corporate Governance & Ownership
What is a Parent Company?A parent company refers to a firm that controls the management of another firm, and takes an active part in its operations. Based on the control offered to subsidiary company, parent company can work as hands-on or hands-off owners for the...
by TheBusinessProfessor | Feb 23, 2025 | Business Entities, Corporate Governance & Ownership
What is a Supermajority?A supermajority refers to a change made to the corporate charter of an organization that seeks voting of around 67% to 90% shareholders in its favor. Supermajority is also known as a supermajority amendment. In case, there are at least 50%...
