Promoter

(redirected from promotors)
Also found in: Dictionary, Thesaurus, Medical, Encyclopedia.

Promoter

A person who devises a plan for a business venture; one who takes the preliminary steps necessary for the formation of a corporation.

Promoters are the people, who, for themselves or on behalf of others, organize a corporation. They issue a prospectus, obtain stock subscriptions, and secure a charter. Promoters stand in a fiduciary relationship to the proposed company and must act in Good Faith in all their dealings for the proposed corporation.

West's Encyclopedia of American Law, edition 2. Copyright 2008 The Gale Group, Inc. All rights reserved.

promoter

n. a person who puts together a business, particularly a corporation, including the financing. Usually the promoter is the principal shareholder or one of the management team and has a contract with the incorporators or makes a claim for shares of stock for his/her efforts in organization. Most states limit the amount of "promotional stock" since it is supported only by effort and not by assets or cash. (See: promotional stock)

Copyright © 1981-2005 by Gerald N. Hill and Kathleen T. Hill. All Right reserved.
References in periodicals archive ?
Available on the SECP's website, the promotors' guides provide comprehensive information regarding incorporation of a company in Pakistan, fee structure, facilities available for online registration and post incorporation statutory compliance to potential foreign investors in their native languages.
The part-time fitness instructor is said to be facing a big future but promotor Billy Murray said she has found it hard to get the breaks.
COVENTRY CSC have been con-firmed as the official promotors of the British Indoor Finals in January.