A startup is a newly created company that, thanks to its scalable business model and the use of new technologies, has great growth potential. For example, financial companies, known as fintech startups.

Furthermore, it is important to highlight that the growth of startups can be strengthened through investments from third parties. For this purpose, it is necessary to document their contributions by establishing the appropriate legal vehicle to receive them, taking into consideration the following points:

1. Rights and obligations that establish options to purchase or sell shares.

2. Disposals relating to the ownership of preemptive rights.

3. Agreements for the exercise of voting rights at shareholders' meetings.

4. Agreements for the sale of its shares in a public offering.

5. Issue shares that confer the right to veto or require the favorable vote of one or more shareholders with respect to resolutions of the general shareholders' meeting.

That is why at VILA we are experts in providing legal advice to our clients, and able to collaborate in the conclusion of all types of agreements to help design the best investment strategy.

We remain at your disposal for any further assistance or questions related to the report.

For more information please contact:

Thais.bejar@vila.com.mx

Thaís Carolina Béjar Talavera Partner Corporate Practice

Diana Oropeza Jáuregui Associate Corporate Practice