What is a participation agreement?
This participation agreement costs €150.00 ex. vat. This amount will be invoiced once you fill out the form above.
A participation agreement contains the agreements about an investment in a private limited BV company. These agreements are made between the shareholders in that BV and the investor(s). In the contract you arrange, among other things, the agreements about the amount of the investment and the share interest that the investor receives in return.
The Scope of a Participation Agreement
Investment
A significant aspect of the participation agreement is determining the amount the investor will contribute to the corporation.
Share Ownership
In exchange for their investment, the investor receives shares. The quantity of these shares is outlined in the agreement. These shares provide the investor with a claim on profits and voting rights in the shareholders' meeting.
Company Management
The agreement specifies who will handle the company's day-to-day management. It also identifies the decisions that require approval from shareholders before the management can proceed.
Decision-Making in the General Meeting of Shareholders
Decisions are made democratically in the shareholders' meeting. However, some decisions are of such importance that a substantial majority is required. The contract identifies the decisions for which this is necessary.
Protection of Shareholders
These provisions are designed to safeguard the interests of specific shareholders. If you're uncertain about what these arrangements entail, don't worry. We will explain them, so you can decide if you want to utilize them.