Research On Legal Issues Of Project And Investment

Project investment refers to the system in which employees invest their own funds into projects that were originally invested unilaterally by the company,and share investment income and bear investment risks.This new type of investment method has been widely used in recent years,but it has been lacking in legal aspects.This article makes an in-depth analysis of the gaps in legal research in the follow-up investment system,supplemented by interdisciplinary knowledge.The author also makes reasonable use of other research reports and statistical data,and tries to put forward perfect legal suggestions for the legal problems that arise in the following investment model.This is of great theoretical value and practical significance in effectively improving the operation ability of capital investment and promoting the harmonious and orderly development of China's project investment system.The first part of the thesis begins with the legal issues that arise in the system of co-investment of projects,first of all in the legal issues of the people who follow the investment,including the possible infringement of employees 'rights and insider trading in the provisions on compulsory and voluntary co-investment.Discussion of legal issues such as private equity funds;The second is the distribution of income,mainly from the following investment method,the proportion of the following investment,the income distribution method and the leverage financing four aspects to explore the investment employees to the project interests of the company,shareholders 'rights;Finally,the discussion on the advance and retreat mechanism,due to the lack of flexible exit mechanism in the current system of investment and the lack of clarity on how to deal with the rights and interests disputes when various special situations arise,this will bring a lot of capital to the employees.risk.The second part is to explore the three pairs of legal relations behind the legal disputes between the project and the investment system.After balancing the three pairs of legal relations,we can formulate a more complete legal mechanism.The first is to balance the interests within the investor,mainly including controlling the individual's share of the investment,and balancing the rights and interests of new entrants and investors;The second is to balance the rights and interests of the former shareholders and employees of the company and seek a balance between the interests of both parties.It is possible to coordinate the rights and interests of the two parties by prohibiting some people from investing in,strengthening the ability of supervision and control of shareholders and directors and supervisors,introducing the equity structure of different rights in the same share,controlling the overall share of shares and the distribution of profits after priority.The third is to balance the labor legal relationship between the company and the employees.The company should set the conditions for the admission of the employees,reduce the leverage risk,achieve the balance between the incentive mechanism and the return mechanism of the employees,and deal with the rights and interests of the employees when they withdraw.The third part is to improve the project and investment system,while supporting the transformation of corporate governance to draw the bottom line of the law for the enterprise and investment system.First of all,we need to strengthen the restrictions and protection of the following investors,retain legal space for compulsory follow-up investment,and conduct all aspects of entry assessment for voluntary follow-up personnel,and for those who may have access to company insider information.Do not participate in the follow-up to avoid insider trading;Secondly,the allocation of investment rights and interests should be rationalized.In this regard,we need to improve the governance system of investment and establish a multi-equity structure to stabilize the control of the company.We need to control the funds invested in the investment to protect the rights and interests of shareholders and companies.The income distribution method should be at a lower level for employees to ensure shareholders 'equity,and it should also play an incentive role.In addition,the target of leveraged capital allocation and the company that can allow leveraged financing should set certain thresholds to ensure the smooth flow of funds.;Finally,in the design of the exit rule,different forms of exit should be set for different types of projects,and when there are situations such as resignation,retirement,new entry and staff transfer,the corresponding treatment should be clearly defined.It is possible to carry out a reasonable distribution of rights and interests in a flexible manner such as equity transfer,so as to avoid disputes over rights and interests and cause employees to fall into a stalemate.