A Shareholders Agreement is an agreement between the shareholders of the company and it aims to protect the investment of shareholders in the company. The agreement can be between all or some of the shareholders and it needs to establish a fair relationship among all the shareholders.
The shareholders of a business ultimately need to determine what should be included in the company’s Shareholders Agreement. The different clauses of the agreement that should be included will depend on a number of factors, including the type of business you’re looking to set up, the number of shareholders and the goals of the company.
The aim of this agreement is to:
- Determine the rights and responsibilities of the shareholders;
- Regulate the company’s shares;
- Describe how the company is going to be run;
- Provide protection for minority shareholders and the company;
- Determine how important decisions should be made.
At Parke Lawyers we have a team of experienced business lawyers and we regularly draft various Shareholders Agreements for our clients. These agreements are all unique as no two businesses are the same. The following are some of the more common clauses that are included in our Shareholders Agreements.
- Dividend payments
- Competition restrictions
- Running the company
- Issuing and transferring of shares
- Dispute resolution processes
When it comes to the creation of a Shareholders Agreement, it is best to have the right legal support and guidance. As experienced business lawyers, Parke Lawyers assists you with developing these and other agreements for your business to protect the interests of all shareholders.
For more information about our services, contact us to prepare your Shareholders Agreement.