What is the relationship between shareholders and directors?
Shareholders and Directors have two different roles in a company.
Shareholders (also called stockholders of corporate members) own the company by owning its shares and the directors manage it.
A Director does not need to be a shareholder or be a Director. A Director can be hired from outside the Board.
Do Shareholders have more power than Directors?
Shareholders who hold a higher percentage of shares in the company have influence, for real, but not necessarily power to command the Director/s.
Can Directors remove a Shareholder?
Yes, but it has to be resolved by the Board of Directors, who also votes on the removal of the shareholder from any posts within the corporation that he may currently hold. This would require a majority vote from the board.
Can a Shareholder be fired?
The majority of Shareholders can remove a Director by passing an ordinary resolution (51% majority) after giving special notice, but a Shareholder can not be fired. That much is fairly straightforward. However, if a Shareholder is also an employee, he or she can be fired from the position. The same goes for if the Director is also just an employee which you will need to terminate their employment.
What happens if Shareholders are unhappy?
A company must always act in the Shareholders' best interest by making sure its decisions enhance Shareholder value.
Also, Shareholders can always sell the stock if they are unhappy. Their selling can put downward pressure on the stock price.
HOW DOES SOMEONE BECOME AN INVESTOR?
Just give us a call or email us at email@example.com. We will be happy to discuss in detail how you benefit from joining our investment program.
Dantru Investment Program for industrial partnership is different and setting up the trend.
Every participant can earn a profit dividend depending on the fair value of the contribution. It is not an easy task, it would need a lot of planning and time, but it is certainly sustainable and possible.
FAQ - About investment program
Why do DANTRU invites and need to Investors?
Dantru invites Investors for 2 reasons. The first is for Projects that need investment and the second is for projects that require partners or to increase its share in the ownership of the Project which means that any percentage of equity infusion whether cash, material, or labor participation will be considered and converted at market fair value into investment. All participation is equated into shares of stocks of the company. Participants then become investors and partners or owners of the project.
Dantru Development Corporation's investment strategy is to increase its financial strength by flexing its ability to raise funds through industrial partnerships.
What is the Investment needed for Industrial Partnership?
Cash, Supply Material, or Both. Any equity contribution may refer to a capital contribution which is an amount given to a business project which becomes his or her share in the business. The contribution in return will increase the equity value of the company.
CASH EQUITY- Investment refers to the infusion of cash in order to generate reasonable returns.
INDUSTRIAL PARTNER - An INDUSTRIAL PARTNER is one who contributes his industry, labor, or services to the project in order to gain ownership of the company. Their contribution is equated with a fair value which will be considered an investment.
How is the Project being Managed?
The project is run by a Management Group managed chosen by the Board of Directors. They follow a Board-approved Project Management timetable, which is their map for Fiscal Plan, Fiscal Budget, and Sales & Marketing Plan to arrive at the profitable goal.
Who are the directors?
Directors are elected by the shareholders and have the responsibility of managing the company on behalf of the shareholders. They are given various power and duties which are voted or approved as a policy of a certain project. As such, the Director act within the powers granted by the company’s constitution to promote the success of the company at all times.
Directors make a number of executive decisions within the boundaries of their corporate powers.
How do directors make and implement decisions?
Directors make decisions based on the Guidelines and Policies of the company. The nominated directors will then implement the board decisions.
Who Select the Board of Directors?
Directors are selected by votation by the Stock Holders (or Share Holders)
There are 2 Kinds of Shares of Stock Holders.
1) Voting Shares are shares that give the stockholder the right to vote on matters of corporate policymaking. Owning voting shares also allows a vote on who should be on the company's board of directors.
Dantru's common stock represents voting shares.
A voting right is a right of a shareholder to vote on matters of corporate policy, including decisions on the makeup of the board of directors, issuing new securities, initiating corporate actions like mergers or acquisitions, approving dividends, and making substantial changes in the corporation's policies.
2) Non-voting shares do not give the holder voting rights in the matters mention above, but the holder is entitled to a portion of the company's capital. Non-voting shares are issued to industrial partners, employees, or to family members of the main shareholders.