Publications

Reasons Why Mergers Fail, and How to Avoid Them

Now that many companies have eagerly decided to tie up with another establishment for both parties to reap the benefits out of it, there have been a lot of reports stating that a huge percentage [...]

Legal Update May 2012

  The Brave New World Of Business Rescue - Which Companies Qualify? What do you do if your company is in "financial distress"? Help is at hand - the new business rescue procedure is aimed [...]

Company Structures: Getting the Right Structure is Important to Generate Revenues

Have you ever wondered why there are different companies who are successful in generating revenues, while there are some others who completely fail at it? The most successful companies that are generating a huge amount of profit on a monthly or even yearly basis have the right company structures. This is why it is very important for every business to understand how these structures have to be done. Raising the necessary capital for a starting business may be a bit tough at first, but with the right structures to follow, everything will be done accordingly. Continue reading “Company Structures: Getting the Right Structure is Important to Generate Revenues” »

Announcement – Dealmakers 2011

We proudly announce that we have just been ranked 16th for “Mergers and Acquisitions by deal value” in the whole of South Africa by DealMakers Magazine - Gold Medal Issue.pdf in their legal advisors category. [...]

Corporate Restructuring – Understanding Processes

Corporate restructuring pertains to the implementation of reorganization in a company from the highest hierarchy going down. This corporate decision can affect areas such as ownership, operations, legal status and financial structure. This decision is aimed at improving the profitability and reducing unnecessary expenditures to save a corporation. Continue reading “Corporate Restructuring – Understanding Processes” »

Shares and Shareholder Transactions – Getting the Necessary Legal Service

The ownership of a corporation lies on the individuals or entities that have shares in the business. The ownership is divided in terms of shares. The shares are attested through a certificate that states the unit of ownership in the business. This share represents the stake of a shareholder in the totality of the business. This setup holds true not only in private but also in public corporations. The shareholders have their corresponding representation to the corporation based on the number of shares that they hold. This certificate also determines the amount of profit that he is entitled to. Shareholder transactions are interests that a shareholder wants to undertake in relation to the processing or disposal of his shares. There are certain activities that involve the exercise of the rights and privileges of a shareholder. These transactions may involve financial considerations and would need valuation of the shares and stakes in the company. Continue reading “Shares and Shareholder Transactions – Getting the Necessary Legal Service” »

The Basics of Shares and Shareholder Transactions

A corporation is an entity owned by individuals whose interest is for profit in the business that the corporation is engaged in. Each corporation divides the ownership in terms of shares to its shareholders. Shares are represented by a certificate attesting the unit of ownership not just in corporations, but even in limited partnerships and mutual funds. Each share represents a fraction of the business and the shareholder becomes a part owner of the business. This is true for both private and public corporations. However, shareholders own a share or shares of stock but not the corporation, per se. Continue reading “The Basics of Shares and Shareholder Transactions” »

Joint Ventures – Implementation Basics

A joint venture is a legal agreement involving parties interested in engaging in a particular business purpose. This agreement results to the sharing of all profits and losses in relation to the business undertaking. This legal relationship between two or more parties is different from a partnership. A partnership involves the agreement of individuals to form a business or organization with the interest of making profits. A successful joint venture requires that the parties involved combine resources and their expertise to attain the goals set for the undertaking. Continue reading “Joint Ventures – Implementation Basics” »

Understanding the Requirements of a Joint Venture

You may be running your own business but you are seeing an untapped market for a particular product that you can deliver. However, you recognise that there are constraints if you will work on this undertaking as an individual company. You also see that the undertaking or the particular project that you want to implement can be realized if you consider another company or companies to enter into the business. This can be because you need the expertise in a particular business area or because of the financial requirements that need to be satisfied to implement the project. If this is the case, your best option is to enter into a joint venture. A joint venture is a legal agreement between two or more parties for the purpose of managing a particular business undertaking. It is clearly different from a partnership because a partnership requires the agreement between or among individuals to enter into a business for the purpose of making profits. A joint venture is limited to a project or an activity that can be a subset of the bigger business venture. Continue reading “Understanding the Requirements of a Joint Venture” »

Corporate Restructuring – Making the Process Easy

Things can be stressful when a company risks losing the business. This can be seen in financial statements and day to day monitoring of cash flows and income reports. Businesses need to recognise the indicators of imminent bankruptcy and should take steps to save the situation by considering some necessary legal or corporate measures. One consideration when this situation arises is corporate restructuring. Corporate structuring requires the “shaking” of the corporate resources, processes and systems to come up with a more viable structure in order to sustain the business. It requires a detailed study and analysis of the current business models, marketing strategies, human resource structures, financial processes, expenditures, and other operational aspects of the business. It can also involve studying the external factors that affect the current business condition. In other words, corporate restructuring is a holistic approach to ensure the business will still be worth operating, making it profitable and reasonable to operate. Continue reading “Corporate Restructuring – Making the Process Easy” »