Explore critical insights on implementing Right of First Refusal in Business, a strategic method for protecting ownership interests in corporations or limited liability companies.
What is a Right of First Refusal in Business?
A Right of First Refusal, or ROFR, is a strategic mechanism in business agreements which grants existing shareholders or members an option to purchase shares prior to them being offered to external investors. It offers a provision to maintain continuity and avoid unwelcomed acquisition by a third party.
ROFR functions when an owner plans to sell their stake in the business, obligating them to first present
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