READY TO SET SAIL: LEGAL ISSUES TO CONSIDER
WHEN SETTING UP A NEW COMPANY
VIRGINIA MURRAY
7 DECEMBER 2015
Company Formation
Basic Issues to consider
WHAT DO I WANT TO DO WITH MY COMPANY?
• What will it do - manufacturing or service sector?
• What is my target market?
• Do I hope to be able to sell outside of Greece?
• Which sort of premises will it need?
• Will I be collecting customers’ data?
• Do I have any money to invest?
• Am I looking for external investors?
• Will I need a long-term or working capital loan to get
the business up and running?
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The IKE and the Société Anonyme
Advantages and Disadvantages
THE IKE (PRIVATE CAPITAL COMPANY)
THE SOCIÉTÉ ANONYME
FOR
FOR
• Speed of establishment
• Reputation/status
• Flexible capital rules
• Classes of shares
• Free valuation of non-cash contributions
• Bond loan structures
• Language of articles and minutes
• Listing
AGAINST
AGAINST
• Reputation/status
• Increased cost of notarial establishment
• Not eligible to issue bond loans
• €24,000 fully paid-up initial capital
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SHAREHOLDERS’ AGREEMENTS
Balancing the interests of founder and investor
ISSUES TO BE DISCUSSED AND AGREED
• Equity allocation and obligations to make capital
contributions during the life of the investment
• Valuation of non-cash contributions
• Management
• Decision-making majorities and blocking rights
• Avoiding deadlock
• Change of control, sale of shares
• Drag and tag rights
• Buy-out Options
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WHAT’S IN A NAME?
Make sure you’re protected and ready to expand
BUSINESS NAME
INTELLECTUAL AND INDUSTRIAL
• Check with the Greek GEMI
PROPERTY
• Check on the internet
• Protect it!
• Is it a name which will travel well?
• Take serious professional advice
TRADEMARKS
• Is it protected?
• Sufficiently distinguishable?
• Think of future export markets
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Q: HOW DO I AVOID LAWYERS IN THE FUTURE?
A: Use one now
ISSUES YOU NEED TO DOCUMENT WELL
• Non-disclosure agreements
• Employment agreements (they may not stay your
friends for ever)
• Commercial lease
• Supply agreements, warranties
• Sale terms and conditions
INSURANCE YOU WILL WISH YOU HAD
• Employer’s liability
• Employee/director errors and omissions
• Third-party and professional liability
• Product liability
• Loss of Income
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Particular issues
Don’t trip up
NATIONAL AND CROSS-BORDER SALES
• Distance Selling regulations
• Labelling (contents and language)
• Packaging and recycling
• Data Protection
• Export credit
MANUFACTURING
• Approvals for the manufacturing facility
• Environmental approvals
• Waste management
• Health and Safety
• Type approvals
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 Watson Farley & Williams 2015
Lawyers of the WFW Athens Greek-law team here today
VIRGINIA MURRAY
Partner
MARISETTA MARCOPOULOU
Partner
NIKOLAOS KOSTIKAS
Partner
MAIRA GALANI
Senior Associate
Tel: +30 210 455 7303
Email: [email protected]
Tel: +30 210 455 7309
Email:
[email protected]
Tel: +el: +30 210 455 7338
Email: [email protected]
Tel: +30 210 455 7335
Email: [email protected]
VALINA GIOUZELAKI
Associate
KONSTANTINA SIOZOU
Associate
MATINA KANELLOPOULOU
Associate
EIRINI PORTOKALAKI
Associate
Tel: +30 210 455 7348
Email: [email protected]
Tel: +30 210 455 7351
Email: [email protected]
Tel: +30 210 455 7336
Email:
[email protected]
Tel: +30 210 455 7353
Email: [email protected]
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WFW Offices
ATHENS
FRANKFURT
MADRID
PARIS
6th Floor, Building B
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Kallithea 176-74, Athens
T: +30 210 455 7300
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LONDON
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T: +1 212 922 2200
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DON’T PANIC
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EVERY GREAT VOYAGE NEEDS A GOOD CREW
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ATHENS BANGKOK DUBAI FRANKFURT HAMBURG HONG KONG LONDON
MADRID MILAN MUNICH NEW YORK PARIS ROME SINGAPORE
All references to ‘Watson Farley & Williams’ and ‘the firm’ in this presentation mean Watson Farley & Williams LLP and/or its Affiliated Undertakings. Any
reference to a ‘partner’ means a member of Watson Farley & Williams LLP, or a member or partner in an WFW Affiliated Entities, or an employee or
consultant with equivalent standing and qualification. This presentation constitutes attorney advertising.
© Watson Farley & Williams 2015
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