Drag-Along Rights

Julien Fissette
Published on
October 18, 2023
Last edited on
1
min read
Summary
About Roundtable
Roundtable is Europe's leading infrastructure for private investments, handling all legal and administrative operations so founders, angels, and fund managers can focus on what matters.

Drag-Along Rights

Drag-along rights empower majority shareholders in a startup to compel minority shareholders to join in the sale of the company. These rights simplify transactions and prevent minority shareholders from blocking a sale. However, they can also be a point of tension if minority shareholders feel they are being unfairly compelled to sell.

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