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How to exit a company as director

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asked on Jun 12, 2018 at 08:35
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edited on Jun 19, 2018 at 01:40
 
Me and my partner opened a cafe in November and now I want to exit from the business. He holds 60% and I 40% share. Please be kind enough to provide me some guidelines.

1. How do I justify how much capital / how much he has to pay me to buy over my share? 
2. What is the procedure to cancel the Suruhanjaya Syarikat Malaysia (SSM)?
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7 Answers

answered on Jun 12, 2018 at 10:57
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edited Jun 19, 2018 at 01:43
 
1. How do I justify how much capital / how much he has to pay me to buy over my share?
You cannot force him or anybody to buy your shares.
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answered on Jun 12, 2018 at 18:53
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edited Jun 19, 2018 at 01:43
 
@vkpc, thanks for your reply. What if he found new director to buy over my share? How do we know the value of my share?
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answered on Jun 12, 2018 at 18:56
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Director?
Partnership or Co Ltd?
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answered on Jun 13, 2018 at 09:16
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What if he found new director to buy over my share? How do we know the value of my share?

Don't confuse director with shareholder.
A director need not hold any shares and a shareholder need not be a director.
At the bottom of the Balance Sheet, it shows the net asset value of the company.
If the net asset value is RM100k, then 40% is RM 40k lah.
Of course it is up to the seller and buyer to negotiate the final price which may be different from the net book value, depending on whether the company is profitable or losing money.
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answered on Jun 13, 2018 at 09:41
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Hi jeff, it is sdn bhd. With 2 directors only
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answered on Jun 13, 2018 at 10:30
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edited Jun 19, 2018 at 02:04
 
@ Samlee

How do we know the value of my share? 
1.  With effect from 31/1/2017 the Companies Act 2016 comes into force.
2.  Your the Company Auditor can give a "net book" value (pay extra) as at today.
3.  For your type of business (plus new) do take note that Costs of Incorporation and Business Setup, takes a big chunk and Assets costs of Equipment & Renovations is hardly recoverable. (Shared ROI or Risks). You would be lucky if you can get 30% of the monies you have put in.

Note, all shareholders have to agree and the Company Secretary has to submit circular resolutions to SSM for any changes in shareholders and/or shareholdings (Paid-up Capital).
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answered on Jun 13, 2018 at 13:50
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edited Jun 19, 2018 at 02:04
 
Thanks jeff for your explanation. Can you advise where do I start now?

Company auditor
Company secretary
SSM
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