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What does “control” mean?

In a nutshell, control means the founder(s) hold more than 50% of the ownership stake in the business. 

With majority ownership and total control, you have the authority to determine the strategic direction, operational policies, and major business decisions without being overruled by other shareholders. You can exercise your decision-making power and shape the company according to your own vision and goals.

Why retaining control is so important

Retaining control of your business is important for several reasons:

  • Decision-making power: When you maintain control, you have the ability to make important decisions that shape the direction and strategy of your business. This allows you to align the company with your vision and goals,

  • Protecting your interests: By retaining control, you can safeguard your interests and protect the long-term viability of your business. You have the authority to make choices that prioritise the well-being of the company, its employees, and its stakeholders.

  • Flexibility and agility: Control enables you to swiftly respond to market changes, adapt to new opportunities, and navigate challenges. You can make timely decisions without being hindered by lengthy consultations or conflicting opinions, allowing you to stay competitive in a dynamic business environment.

  • Preserving company culture: Control allows you to preserve and shape the unique culture of your business. You can maintain the values, principles, and working environment that define your company, ensuring continuity and consistency.

  • Investor alignment: Maintaining control helps ensure that the interests of investors align with yours. It allows you to make decisions in the best interest of the business without compromising your vision or succumbing to conflicting agendas.

Overall, retaining control of your business provides you with the autonomy, adaptability, and ability to protect your interests and steer the company towards success.

How does it work?