A Tutorial On Managed Buy/Sell Private Placement Programs: Chapter 9
By Michael Weiner
USE OF LAWYERS FOR ADVICE AND GUIDANCE
It is the writer’s opinion that lawyers and accountants are engaged to serve as people who execute agreements or financial reports between the principals in support of the client’s business decision made between two parties. In most general cases, their advice is solicited, however, it is rare to find an attorney who is intimately familiar with PPOP’s. As a result, almost always, the client is poorly advised by practicing attorney’s who are not sufficiently educated in this arena. Would you go to a podiatrist to get advice on having brain surgery?
Too often, because of their well-deserved achievements to become a legal or accounting professional, they are additionally asked to guide and direct the client’s decisions. Whilst they are trained professionals in their respective fields, they are not the ones who should be in charge of or direct the client’s ultimate business decision. As a result, typically ill-advised input comes from a lack of understanding in this arena, and many clients who otherwise would have benefited well are told to stay away by their ‘advisors’. Even though they will believe or state they are ‘protecting the client’, the lost opportunity because of that advice is extraordinarily costly. Both have their place, but should not be guiding a decision in this world if they are not experts. The final decision rests with the client.