We have non-competition clauses in shareholder agreement which prevents any shareholder to own shares in a company which is a competitor. We founding partners think this is a good idea to prevent any important information flowing to competing companies but one of the shareholders who is not a founding partner wants to be able to invest in companies that may compete.
The reason is this shareholder has a portfolio of startup investments and may add more those in the future. Should we founding partners be worried if we allow that possibility? Is it typical that one investor can invest in competing start-up companies?