Director and shareholder resignation

Director and shareholder resignation

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I appreciate that in theory this question may have been answered before and I have read answers to previous posts with interest.

I currently work for my company as a director, 50% share holder and employee. My business partner is in an identical situation. I have guaranteed a small loan personally.

Due to various differences in opinion when it comes to the companies direction and practices, and also due to the fact I cannot see the company making profit in the long term I wish to move on.

The company turns over approx 150k per year and cashflow is steady but there is minimal capital for the company or my business partner to purchase shares at the market value.
(which I perceive to be greater than £1)

What options do I have. My resignation would likely mean that the company wouldn't be able to provide the services it does without a replacement for me. That would mean finding someone willing to work long hours for low pay and a stake in the company.

I assume this would result in a risk of insolvency and therefore limit my options.

Any advice would be greatly appreciated

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By Chris Smail
28th Feb 2012 10:41

Do you have a shareholders agreement in place?

If not why not?

In the absence of any prior agreement it is all down to negotiation, but if your resignation would result in the demise of the company then why do you think your share is worth anything at all?

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