general

definition of figurehead

A figurehead is that person who lends his name, his natural person, or until his signature, to enter into a contract or carry out a business, but, in fact, both the business, the goods that he acquires, among others, correspond to another individual who by x situation does not want to be known or does not want to appear per se in that business or in a specific purchase contract.

It should be noted that the concept of front man has a negative connotation because it is mostly associated with spurious, illegal or not very transparent businesses.

The concept is so common and everyday to us because cases of this type are constantly presented in the written and audiovisual press.

The use of figureheads is usually appreciated regularly in cases of people who occupy public or political positions who cannot appear with their names in certain businesses or enter into some contracts because they directly contravene their duties as civil servants and then to avoid appearing they use figureheads that the only thing that They do is lend them for their names but in reality it is they who receive the profits that come from them.

Normally, the front men are paid an agreed amount of money to perform that role.

It is also worth noting that the use of figureheads also has the mission of evading justice, which in those cases of illegal businesses or those that violate any norm tend to end up more easily in the sights of the courts. In this way, when there is a front man, it becomes more difficult to verify who really is the owner of the businesses in question.

On the other hand, the use of front men is recurrent in those cases in which a person is unable to act commercially or legally because a complaint or lawsuit weighs on them and then the most effective way to keep their assets and businesses safe is by appointing front men . Generally, in these cases, people from one's own family are chosen to establish themselves as such or individuals of the closest trust.

Because of course, for the most part, it will be about illegal maneuvers that do or do require an absolute commitment to the reservation of the case.

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