The warm summer months are almost here, and many business owners will be spending some time relaxing away from the office. Before or after that well-deserved summer vacation, however, owners may want to tackle important issues concerning the company’s key agreements that have not kept pace with the growth of the business. Changes in these
People typically enter into business partnerships with the best of intentions. But when things go awry down the road, the minority partner may claim that the majority owner violated a fiduciary duty by failing to act in the best interests of the business or by acting so recklessly that it amounts to gross negligence. Before
Majority owners and minority investors act wisely when they negotiate and adopt a buy-sell agreement (BSA) at the time the private company investment is made because the BSA helps to avoid future conflicts between them. Signing a BSA, however, and deciding when to trigger it to require the purchase/sale of the minority interest are different
Private company buyers and sellers are more frequently using earnout provisions to help close the gap when they disagree over the price to be paid for the purchase/sale of the company. This creative solution can lead to conflicts, however, when the purchaser later contends that the earnout target was not met and, therefore, that no
Minority investors often purchase interests in private companies without securing a buy-sell agreement (BSA) at the time of their investment. After a few years pass, however, the minority investor and the majority owner may both want one, but for different reasons. The majority owner may desire to redeem minority interests in the company held by
The use of AI has been a boon for business owners, because it enables them to analyze large amounts of data quickly and inexpensively, which accelerates their decision-making process without the need to consult others. This expansive, fast input can make it appealing for business owners to consider replacing their human business partners with an
Doing the same thing generally produces the same result, and as the new year arrives, many business owners are considering new steps to help their companies achieve greater success in the year ahead. Leveling up requires change, and this post reviews three resolutions majority owners can implement to obtain better outcomes during 2026 for their
Last week’s post gave me an opportunity to share my thoughts on how choosing to lead a business with a gratitude mindset can have a remarkably positive impact on the company’s performance, as well as on the people who work for or with the business. The post received positive feedback, and several readers expressed interest in learning
As we approach the year end, many of us take stock of what’s working in our lives — and what isn’t. Things don’t always turn out as we had planned, and that’s where I found myself earlier this year. Professionally, I have much to be grateful for, but during the year I endured personal relationship
For many majority owners of private companies, selling their business is a once in a lifetime event without “do overs.” They want to secure top dollar when the company is sold, and this post reviews strategies that are geared to help the owner obtain the best sale price for the business. But there are other
