Resolving a Shareholder Dispute
Our Services: Business ValuationsA client was facing a shareholder dispute. Each party owned 50% of the company and corresponding land; however, there was no formal shareholder’s agreement in place which means there was no easy exit strategy for either shareholder.
On behalf of one of the shareholders, we valued the business, presented an offer to the exiting shareholder, and helped secure a sensible purchase for our client. In addition, we arranged financing through our established financial community and ensured our client received a very low interest rate for the money used to buy out the exiting shareholder. We also deescalated the situation quickly and efficiently. Disputes of this nature often run high on emotions which can cause unnecessary stress and can impair proper judgement for the parties involved. We deployed our deep knowledge, expertise and fact-finding skills to the situation to ensure that this dispute was dealt with in a professional manner and that all communication was done through us as opposed to between the parties.
After we secured a good purchase price for our client, we continued to work with them on cost-saving mechanisms. As a result of these mechanisms and the low interest rate we helped secure, the client was able to repay the purchase price in a very short period.