Corporate Governance: A strategy to create a long-term Company
Are you concerned your company doesn’t have the tools that reflect good management? In times when transparency is very important, a useful tool that companies should have to reflect a good management, is Corporate Governance.
We normally associate the concept of Corporate Governance to companies that are public companies or very large companies, but the same principles of Corporate Governance can be applied to medium or small companies (family owned). The result would be an improvement in the relationship between the Board of Directors (or the administrative organ of the company) and the shareholders, that in return will reflect a better management.
Corporate Governance is focused on being an efficient tool to make fair and equitable decisions for all the parties involved in the company (employees, customers, suppliers, the environment, communities, etc.) not only with the shareholders. This is achieved by using a system of checks and balances that help validate or reject a business decision.
Corporate Governance helps your company reduce risk and focus not only of being profitable but also on its social purpose and sustainability. The objective is to create a sustained value of the company, and by creating this value, the company serves not only to its shareholders but to all its stakeholders meaning employees, customers, suppliers, local communities and society at large.
The way to achieve this is to create policies and make decisions that strengthen the operation of the company in every level, internal or external (shareholders, directors, managers, human resources, accounting, sales, employees, clients, suppliers and government authorities).
For more information on Corporate Governance, its application, and how it will benefit your company contact our lawyer that can solve your questions.
Marisol Alvear López
Legal Partner General Corporate Law, Foreign Investment,
Corporate Real Estate.
Email: marisol@alvear.com.mx
(55) 11022770 ext. 6225