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SS Legal Advisor
SS Legal Advisor, Advocate
Category: Law
Satisfied Customers: 1053
Experience:  Senior Caseworker at DL Solicitors
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Can businesses make investments in the financial markets to

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Can businesses make investments in the financial markets to feed back into the business?
JA: Where is this? It matters because laws vary by location.
Customer: UK business
JA: What steps have been taken so far?
Customer: None
JA: Anything else you want the Lawyer to know before I connect you?
Customer: I want to know if one pays from the business, is the investments in a directors name or the business name?
I am an experienced legal advisor and I am happy to answer your question.A company is it's own legal entity. It can hold shares etc in its own name. If the company buys the shares then it owns them. This is very common place and is not an issue. The profits made should be fed back into the company.Happy to answer follow ups.Kind regards
Customer: replied 1 year ago.
Thank you. If at some point in the future the shares need to be transferred out of the company to a Director - what is the process?
Then technically the director ought to buy the shares from the company. You have to treat the company like its own legal entity, almost as it were a person.
Customer: replied 1 year ago.
Thank you. That is what I thought. Kind regards.
Happy to help, please do rate the answer.Kind regards
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