That will happen if you register your company as public limited liability or partnership company.... Not sole proprietorship.

You are mis using the word board of directors bruh, Board of directors are employed by the Shareholders, mostly even employed by the founder... only share holder can take you off your sit not board of yeye directors oshi and even before the share holders can take you off their have to be vote of trust if ur %% shares accumulate to 55% upward na them go leave the company for you... and the only other way u can also be taken out is if u are mishandling funds or mismanagement thanks

Kzinne:
dangote is on the stock exchange and he's still in control

Not all of Dangote business is on the stock exchange and he has been using 3rd party to buy back most of his company stock.
He is the face of the company, removing him will after the share price negatively.

laplace12:


He was fired.

and he was reinstated...

Havertz10:
If you want full ownership then don't seek outside investment

These days, you can't build a company without outside investment

You can limit the amount of ownership the investors have. You can take control of the company by buying back their shares

Although that one na big money u go need do am

Just make sure you hold majority shareholding to surpass those of the investors. That way, you're always in control, even if you're not the ceo and them no go fit make decisions without you

Oh wow..is that why

Acidosis:


So when you die, people's money and investments can also die abi?

Or you don't look forward to owing a legacy? You think the owners of world's 500 biggest companies are still alive?

The founders of Tesco, Apple, Nokia, Aldi, Nike, Adidas, Puma, Lidl, Walmart, and other Fortune 500 companies are all dead.

If you own 100% shares, your company won't outlive you.

Kobicove:
The fact that you founded the company does not necessarily mean that you're the most suitable to manage it when it grows to a certain level or when some conditions of operation change.

So, yes the Board of Directors can fire the owner!

what determines if they can be fired isn't if they're suitable for the job. It simply their share percentage. If they have the controlling share amount safest is 50% then they can not be sacked due to obvious reasons. If they own anything less than that, then it doesn't matter much if they're suitable for the job or not, it now becomes company politics if they really want to play that route. Steve Jobs was once sacked from Apple.

Hseffa:

............
Your submission isn't practicably applicable in corporate world. Read how Adenuga pushed former President, Gen. Yakubu Gowon out of African Petroleum. Just guard yourself. You become more predisposable, the moment your incorporated company grows to level of trading on the Nigerian Stock Exchange!
Immediately, Security Exchange Commission register and vet daily your company performance trends. They are absolute CRAZIER THAN THE STOCK EXCHANGE COMMISSION!
Reasons, big businessmen always use Abuja connection to PUSH OUT THE DIRECTOR GENERAL OF SECURITY EXCHANGE COMMISSION.
NSE is paddy-paddy activities. Which Dangote used over Otedola's defunct Zenox Oil!
SEC are weyreys. Strictly pros. Even NSE guys fear them.

SEC is in charge of the NSE so no news

Premiumwriter2:
I'll personally draft and create a contract and get the very first investors to sign that at all times I'll own 60% of the shares.

All share sales and dilution will come from the remaining 40%. Can't come and form a company and then some modaf*ckers will push me out.

yea and that is why it is good to have money, if you have money you could have the largest investment in the company thereby giving you more control, meaning you might not need much investors anymore.

Casper21:
The question “Can the board of directors fire the owner?” is becoming increasingly contentious. CEOs and founders of companies often find themselves out of a job after being fired by means of a vote undertaken by the board of the company. If the person in question is not the owner of a controlling share in the company, there is not much they can do to avoid being fired.

Sharing the ownership of a company leads to loss of total control over it. As external investors are brought in, owners' shares get diluted, and the founder of a company can often find that he or she owns less than half of the shares in that company. This leaves him or her at risk of being fired.

If a CEO has a contract in place, he or she may get fired at the end of that contract period, if the company has new owners or is moving in a new direction.

The CEO, despite being the person who incorporated the company, often gets fired in times when the company is experiencing a slump in financial performance. This is because internal company politics and differing leadership styles render people vulnerable.

If a founder gets fired, then the company's investors have obviously lost confidence in that founder's ability to establish profitability. Or, in the case of a company that is already turning a profit, they do not consider the founder capable of helping the company grow and evolving to meet the needs of a changing market.


...Strategies for Avoiding Dismissal....

Tech Crunch advises executives to always remain defensive, working with key players and building personal relationships with board members and shareholders. These, according to Tech Crunch, are the most important strategies in defending oneself from being attacked by the board of one's own company.

Founders and CEOs need to focus on more than the fact that they are indispensable – they also need to recognize the areas in which they are vulnerable. They can do this in a number of ways:

Knowing whether or not a board vote is enough to fire them.

Being aware of whether or not alleged wrongdoings need to have taken place in order for them to be dismissed.

Keeping one's ears open to listen for complaints and expressions of discontent, and
Being careful of the contracts that they sign.
An important step that CEOs can take to protect their position is to get all promises in writing. A CEO should never trust anybody who claims to always have his or her back.

You used some terms and thought you would clarify them;

A founder who is in charge of the company at the same time is MD/CEO. MD stands for Managing Director. This means;
1. You are on the board.
2. You are running the company.

You can be a CEO even when you're not on the board. In this case, the board can fire you at any time.

As a founder, if you hold the highest number of shares, you will always have the majority vote in any voting scenario.

However, if you are a founder, and you have financiers who, together hold cumulatively higher number of shares, you could be voted out as the CEO. Ever noticed why in the Dragons Den, the entrepreneurs are always looking for someone to invest for 20 or 25% and the dragons are always asking for 40%?

beautyhd:
It's possible if the collective shares of the directors are up to 60 percent.

In this case he is removed from the position and decision making powers taken from him but somehow still retained as the founder of the company.

once a founder is always a founder. In my opinion it is always best to relinquish power after sometime and play from the background.

Didn't think of this before registering my company then..now I'm thinking of using my brother but but I think it's not wise..I will get married some day and have kids and when I do I would like to make some of them my directors so I better leave it for now and when I want to change it I do that once and for all

tutudesz:

Most people use family members has directors to avoid stories

lastchild:
i have this phobia of loosing what I started for those who weren't there when I suffered for the little beginning just because of being stake holders or board of trustees

You still have your shares and earn your dividends.

5% ownership of MTN Nigeria will fetch the shareholder a dividend of about N8 billion.

Better to own 5% of a big business than 100% of a struggling business.

Fola Adeola and Tayo Aderinokun are the founders of GTB. I doubt if both of them own 10% of the bank, but Fola and family of Late Tayo Aderinokun are earning billions of Naira as dividends every year

BigDawsNet:
Only if owned 10% shares of the country

They can easily pay him off with additional 10% of his or her shares...

But still if you sturboon...you can sue your boards of directors....

10% is no small amount if the company is a really large company. Many popular founders(turned CEO) that we know don t own upto 10% of their companie

LOVEGINO:
what about Dangote, Adenuga, Inosson etc...

Dangote has 80% of Dangote Cement

75% of Dangote Sugar

quincyshakur:
Can u as a son fire ur fada from his own house

Yes o!

Whenever I have issues with my dad, the man I'll just walk me out of his house. I'll have to come back days later with relatives to beg him. Me and my Popsy quarrel one day, the Manny say make I comot from him house. I told him to go out and go to his father's house as this is my own father's house.
Baba just form vex, comot from house go drink beer. When we settled, he told me never to tell him that again. But he learnt his lessons. He never ordered me out of the house again.

Absolutely

He's supposed to bring his people to his board room to represent his shares and interests.

If he's putting the company at risk he can be removed

tutudesz:

If you list your company on stock exchange, you can only keep 20% of the company shares

wow! I never knew this.
Does this apply only to Nigerian stock exchange or all over the world

I like this thread. Not only is it educating but devoid of tribal sentiments and backlash. Mods should endeavor to move threads like this to front page more often. I'm really tired of seeing Igbos, Afonja, etc.

What an eye opener

Only intelligent and business oriented people can be on this thread. It's quite informative, thanks OP. Now I know what to do when creating my own company

That was exactly what lalasticlala, mynd44, dominique and other moderators did to Seun

These are well educated men
I can see
Twale 4 una

This reminds me of the movie: The Family that preys...

Shegzy8:
Please I'm having issues with the payment of my rent, I'm about been rendered homeless. I'm in need of anyone to lend me #15,000 to complete my rent and I'll pay back by month end. Please, I'm ready to do anything to verify my identity and show commitment towards paying back.

You can quote me if you're willing to help.

Why not give the landlord the ones you have and promise to pay the remaining 15k by month since you are sure you can get it

Premiumwriter2:
I'll personally draft and create a contract and get the very first investors to sign that at all times I'll own 60% of the shares.

All share sales and dilution will come from the remaining 40%. Can't come and form a company and then some modaf*ckers will push me out.

You been fired doesn't mean you will lose you stock, just that your position in the excutive will be taken.

Case study the founder of apple Steve jobs

FengChui:


Yes o!

Whenever I have issues with my dad, the man I'll just walk me out of his house. I'll have to come back days later with relatives to beg him. Me and my Popsy quarrel one day, the Manny say make I comot from him house. I told him to go out and go to his father's house as this is my own father's house.
Baba just form vex, comot from house go drink beer. When we settled, he told me never to tell him that again. But he learnt his lessons. He never ordered me out of the house again.

Super story...you are proud to be dragging your papa house with him? I dey shame for your behalf

Yes of course.
Steve Jobs was fired from the company he founded.

LagbajaTheBEREAN:

Lass lass, na sole propertorship go be the koko be that, partnership is not advisable bi that buh pesin wey no con get bar how hin wan take start sef...

Boss, is it possible to own 100% of them company? Because I will like to own my company myself, I no want any useless partnership

You will be fired but your shares will be intact. You no get d comp6but company go still de pay you

sandra50:
Didn't think of this before registering my company then..now I'm thinking of using my brother but but I think it's not wise..I will get married some day and have kids and when I do I would like to make some of them my directors so I better leave it for now and when I want to change it I do that once and for all

Nwanyi oma...let's get married and raise kids. Oge adiro!