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Corporate finance

Investment in start-up companies: issues related to shareholder loans

Research articles : 
Michael Dew is a Vancouver lawyer who practices in all areas of civil litigation (including ICBC cases). Click here for contact information and further details about Michael’s practice.
 
Summary:
This article sets out case law to support a number of propositions of law relating to shareholder loans. The propositions, which are set out in the introduction of the article, relate to the formalities required for shareholder loans and the circumstances under which purported shareholder loans may be found to actually be capital contributions. The priority of shareholder loans on bankruptcy is also briefly mentioned.
 
Introduction
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