How to distribute the equity of small companies

Legal analysis: how to distribute the equity of small companies: first, ensure entrepreneurs' control over the company; It is best for the founder to be absolutely controlled, preferably more than 67% of the shares. If not, it is better to have more than 50% of the shares, because the company needs a leader who can make decisions, so as to better grasp the development direction of the company and stimulate the confidence and motivation of the team to become a big enterprise. The second is to maximize the value of equity (attracting partners, financing and talents). Because equity has greater long-term investment value than fixed salary. Generally speaking, with the development of the company, the equity in the hands of partners may increase several times, which is far from the fixed salary. Entrepreneurs can use it to persuade and attract talents.

Legal basis: Article 71 of the Company Law of People's Republic of China (PRC). Shareholders of a limited liability company may transfer all or part of their shares to each other. Shareholders' transfer of equity to persons other than shareholders shall be approved by more than half of other shareholders. Shareholders shall notify other shareholders in writing to agree to the transfer of their shares. If other shareholders fail to reply within 30 days from the date of receiving the written notice, they shall be deemed to have agreed to the transfer. If more than half of the other shareholders do not agree to the transfer, the shareholders who do not agree shall purchase the transferred equity; Do not buy, as agreed to transfer. Under the same conditions, other shareholders have the priority to purchase the equity transferred with the consent of shareholders. If two or more shareholders claim to exercise the preemptive right, their respective purchase proportions shall be determined through consultation; If negotiation fails, the preemptive right shall be exercised in accordance with their respective investment proportions at the time of transfer.