Investment in family business

[EthelredOnAGoodDay]

hope this is the right area for this post...
Looking for a bit of advice here.

Dh?s family (parents and 2 DBs) run a successful business (of which he not a part.) They are looking at starting up a new venture, which requires an initial injection of capital and DH is keen that we invest our savings into this, as the projected return rates appear to be good. Suggestion is that the business be set up with DH and two DB?s as directors. The DB?s situation is slightly different from ours as their share of investment would probably come out of the existing business, or be set against it. Ours however, would be from our joint savings. If this happens, and I am not a named director, how would it leave me? If anything, heaven forbid, happened to DH, would the directorship pass to me? presumably, i would not have any say in the direction of the business, other than through DH.
Sorry for this all being a bit vague, but still in v early stages of development.
Any advice from anyone??

bump

The business would presumably be a Ltd company and therfore your DH and his DBs woudl each have a legal title to shares in it recorded at Companies House and in proportion to their respective investents in it.

As you would be investing joint savings I suggest you and DH each write a separate cheque to inject the capital and each of you have your individual shareholding recorded in the register. You do not have to be a Director.

Thanks for that. I am a bit clueless about this sort of thing!

You would also have to amend each of your Wills to ensure that it was clear what would happen to the shares if one or other or both of you died.