About how to withdraw shares and return funds after investing. The distinction between the two situations is explained as follows:
1.Advance noticeIf a shareholder wishes to withdraw his or her shares, he or she needs to notify other shareholders in advance and express his or her intention to withdraw his shares.
2.An agreement was reached: Negotiate with other shareholders of the company and reach a withdrawal agreement. The agreement should specify the method, amount, timing and other details of the withdrawal of shares.
3.FormalitiesIn accordance with the agreement, go through the relevant procedures, such as the transfer of equity, cancellation of shareholder status, etc.
4.PaymentsAccording to the agreement, the company shall pay the corresponding amount to the shareholders.
1.The company has been profitable for five consecutive years, but has not distributed profits to shareholders
If the company has been profitable for five consecutive years, but has not distributed profits to shareholders, shareholders have the right to demand that the company distribute profits in accordance with the law. If the company refuses to distribute profits, shareholders can request a withdrawal of shares and return of funds.
2.Merger, division, and transfer of major assets of the company
In the event of a merger, division, or transfer of principal property of a company, the shareholders' equity may be affected. In this case, the shareholders have the right to demand compensation or liquidation of the company in accordance with the law. If the company is unable to meet its indemnity or liquidation obligations, shareholders can request a withdrawal of shares and return of funds.
3.The expiration of the business period specified in the articles of association or other reasons for dissolution stipulated in the articles of association appear
If the business period specified in the articles of association of the company expires or other reasons for dissolution as stipulated in the articles of association arise, and the shareholders' meeting passes a resolution to amend the articles of association to make the company exist, the shareholders have the right to request the company to be liquidated in accordance with the law. If the company is unable to meet its liquidation obligations, shareholders can request the withdrawal of shares and return of funds.
In short, if you want to withdraw your shares and return your funds after you have invested in shares, you need to follow certain procedures and regulations. Under normal circumstances, it is necessary to notify the other shareholders in advance and reach an agreement, and then go through the relevant formalities and make the payment. In special circumstances, it is necessary to take corresponding measures to protect their rights and interests according to the specific circumstances.