borrowings at all
Family business: you can not increase to lose
Dmitry Motorin talks about the problem of effective business inheritance and gives advice to owners and founders of companies how to transfer their business to the heirs without problems
In the county of Lancashire, in England, about family companies they usually say that “there are only three generations between tattered shoes.” Our country has a hot issue of capital inheritance to go in the next 10-15 years. There are historical reasons for this.
It is amazing that not only people, but also the companies created by them, want to live forever. Many of today’s successful enterprises were created on the ruins of the USSR economy in the 90s and with new opportunities in the 2000s. These firms turn out to be the same living organisms, though social, and they just like their founders want to extend their active phase of life. The question is, how true shareholders are able to keep track not only of their longevity, but also the longevity of their company? Continue reading
Interest-free loans between “their”: to stand – to be afraid?
At first glance – not scary
Based on the provisions of paragraph 1 of Art. 50 and paragraph 1 of article 809 of the Civil Code of the Russian Federation in the general case, commercial organizations provide loans to other commercial organizations on a reimbursable basis. Moreover, according to paragraph 1 of Art. 421 of the Civil Code of the Russian Federation, citizens and legal entities are free to enter into an agreement. On this basis, the parties to the loan agreement are not limited in the right to establish in such an agreement any interest rate for the use of borrowed funds received in connection with the borrower’s business activities. Certain restrictions on the amount of interest under such an agreement can be caused only by compliance with other principles of civil law – reasonableness and fairness, the inadmissibility of abuse of law (clause 2 of article 6, article 10 of the Civil Code, paragraphs 9, 10 of the resolution of the Plenum of the Supreme Arbitration Court RF dated March 14, 2014 No. 16 “On the freedom of contract and its limits”). Continue reading
What is offshore, onshore and midshore?
If you have ever created a business on your own, from the zero cycle, then you probably took into account the different possibilities for the place of registration. This usually happens at the place of registration of the founders of a new company. But imagine that you are from different areas, cities or even countries ….
How to choose a specific place of registration, where your business project will be happy, it will feel comfortable, and where is it simply profitable to conduct business?
The questions are by no means idle, but of concern to many entrepreneurs, as well as those who aspire to become such. Let’s figure out what the options are. Continue reading
