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Investors Subscription Agreements

Asked over 2 years ago - Palo Alto, CA

I am going to be changing my company name (file a Certificate of Amendment) due to possible trademark issues however I have investors that currently want to invest. Will there be any problems if I get them to sign a subscription agreement with the current company name and I change the name within the next month? Should I execute the document with the new name, old name, or write something like "currently known as [old name] soon to be known as [new name]"?

Are the subscription agreements tied to the corporate number so the name doesn't really matter? (This is my hope)

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Attorney answers (1)

Dana Howard Shultz

Reputation Level 15

Answered over 2 years ago. Business Attorney in Oakland, CA.

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You should use the name of the corporation in effect at the time the subscription agreements are signed. There is no problem if the name is changed shortly thereafter. As a business matter, however, it makes sense to let the investors know that the name change is coming, and explain why, and let them know once the change has occurred.

Disclaimer: This post does not constitute legal advice and does not establish an attorney-client relationship.

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