I am preparing to launch a large business and I am trying to raise a very large sum of money to get the business going. Is it ok to incorporate a business and have like 10 million shares and sell 5 million of those shares to anyone on the open market for start up capital?
Asked on 1/16/10, 4:45 am
2 Answers from Attorneys
Leon Ferraez
Ferraez, LLC
You may do that. However, there are some disclosures that must be made in your agreements and on your shares. You also have some other statutory constraints relating to corporations that you must follow and which may affect the number of shareholders you may have.
Answered on 1/21/10, 6:36 am
Alan Wagner
Wagner, McLaughlin & Whittemore P.A.
Yes, but you need to comply with the securities laws. You will really need a lawyer to comply with the laws in this area.
Answered on 1/21/10, 11:26 am
Related Questions & Answers
-
If a contract governed by Florida law does not specifically prohibit the contract... Asked 1/15/10, 1:58 pm in United States Florida Business Law
-
We owned property and built storage units on it. The property/buildings went into... Asked 1/13/10, 3:52 am in United States Florida Business Law
-
Court date: 01/11/2010 I hired a lawyer to represent me at a child support hearing.... Asked 1/12/10, 10:18 am in United States Florida Business Law
