As a shareholder, you will have certain rights and obligations. Your rights and obligations are regulated by Swedish Company Law, the company’s articles of association and any shareholder agreements you have signed. In addition to your legal rights, you can also engage with businesses you have invested in through their forums on the platform.
Rights given by Swedish Company Law
You have the right to affect certain significant decisions regarding the company. Although day to day decisions are made by the company’s management and strategic decisions are made by the board of directors, you and other shareholders will have the right to affect certain significant decisions by voting on shareholders' meetings. Examples on decision in which you have voting rights are changes in the company’s articles of association, new issues of shares, significant changes of the company’s business and appointment of new board members.
You will also have the right to receive information on the company’s performance and financial position at least once a year. This information will be given to you on the company’s annual general shareholders’ meeting. The company needs to send you an invitation to general shareholders meeting a certain number of days prior to the date of the meeting.
In general, you will have the right to buy new shares issued by the company before the shares are offered to other parties. If you for example own 1% of the total number of shares in the company, you will have the right but not the obligation to buy 1% of the total number of new shares issued by the company.
The company is also obliged to keep its records of shareholdings up to date at all times and send a copy to anyone who requests one. If you want to verify your shareholdings, you can simply request a copy of the records of shareholdings of the company you have invested in.
The company’s articles of association
The company’s articles of association specify the company’s major business activities, country of incorporation, share capital, number of shares and any limitations or restrictions for shareholders to sell their shares among other things. Changes of the company’s articles of associations need to be decided by the shareholders' meeting.
Shareholders' agreements may include rights and obligations which are similar to those in the company’s articles of association. In general, shareholder agreements are more detailed and include only shareholders that are parties to the agreement, compared to the articles of association which include all shareholders and the company itself.
If you have signed a shareholders’ agreement you may have rights to receive information from the company more often than on general shareholders’ meetings and you may be obliged to keep such information confidential. You may also have the right to sell your shares at the same terms as the founders, if they choose to sell their shares. In addition, you may have an obligation to sell your shares if an external investor puts a bid on all shares of the company and a certain percentage of the votes want to sell their shares.
Engage on the platform
In addition to cast votes on general shareholders meetings, you can also share your advise and opinions with the company through the platform. Many early-stage companies need advise, new connections as well as board members. Feel free to reach out to the company to learn if they would like your help.