The 8th Entrepreneurship Salon was successfully held on the evening of July 18 on the Campus of Zhongguancun.
Centering on “Legal Risks of Start-Up Enterprises”, Mr. Zhan Feiyang, alumni of School of Management, the founding partner of Beijing Fuding Law Firm, shared with the participants. Mr. Zhan was good at dealing with law affairs in corporation, finance, and real estate and big arbitration cases. He is certified management trainer and business consultant of Industrial Development Organization of the United Nations. The Law Firm he is working for offers legal services for foreign clients, enterprises in mainland China and Hongkong, Macao, and Taiwan areas.
In the salon, he analyzed typical cases of Stone Group, Kungfu, and The Cereal Way, cited the negligence of details in equity arrangements, which triggered conflicts in the governing of corporations, and even the bankruptcy of the firms. Mr. Zhan mainly answered four questions in his lecture: how to allot shares among partners; how to enhance stability and enthusiasm of working teams through stock ownership; how to perfect corporate governance structure to distribute duties, rights and interests among shareholders, board of directors and business operators; how to prevent disputes about stock rights among shareholders.
Mr. Zhan said that the aim of equity arrangement of start-up enterprises is to reach a balance between stock right and govern right, and prevent the situation of concentration or dispersion of stock rights. In designing special stock rights such as “couple partners” and “dormant partners” and “dry shares”, risks should be prevented. Finally, Mr. Zhan gave professional reminders on the hidden legal risks of the newly implemented rules of corporate registered capital subscription.
