What are the advantages of participation certificates for the company and for the participant?

Participation certificates offer the company the opportunity to bind employees or consultants to the company, i.e. through participation in the commercial success of the company, without issuing voting rights for the shareholders’ meeting. It is also possible to draw up a stricter shareholders’ agreement for the share capital, but to handle the participation certificates less strictly. Listed companies can even issue up to 10 times the share capital in participation capital.

All FAQs Published at: 2024-02-05