Shareholders Agreement Template
What is a shareholders agreement?
A shareholders’ agreement is an agreement between the shareholders of a company. It can be between all of the shareholders or only some of the shareholders. Its purpose is to protect the shareholders’ investment in the company and to establish a fair relationship between the shareholders and govern how the company is run.
By using a shareholders agreement you are able to supplement the company’s articles by using this shareholders agreement to prevent conflict and protect minority shareholders. This straightforward and easy to use shareholders agreement template can be used between some, or all of your company shareholders. It covers key issues such as company administration, the company’s officers, new share issues, day to day management, decision-making and leaving shareholders.
A shareholders agreement will typically aim to:
- Set out the shareholders’ rights and obligations,
- Regulate the sale of shares in the company,
- Describe how the company is going to be run,
- Provide an element of protection for minority shareholders and the company,
- Define how important decisions are to be made.
The shareholders’ agreement will contain specific, important and practical rules relating to the company and the relationship between the shareholders. This can be beneficial both to minority and majority shareholders. Therefore it is always beneficial to have one in place before embarking upon a new business venture.
When to use:
Use this shareholders agreement template:
- When you and other individuals are shareholders in a private limited company
- To supplement and add to the company’s articles with provisions relating to shareholders’ powers and entitlements
- When all the shareholders want the same rights and entitlements and there is one class of share only
- To ensure the additional provisions are kept confidential in a private contract
- To make it easier to change provisions in the future without having to amend the articles
What this covers:
This shareholders agreement template covers:
- The issue of new shares to incoming shareholders
- Company officers
- Requirements for board and shareholders meetings
- Unanimous shareholder approval for reserved matters of key importance
- Shareholders’ duties and entitlements
- Rights of first refusal for shareholders to buy the shares of shareholders leaving the company
- Shareholders’ rights to information and dividends
- Shareholders leaving, including restrictions on competing with the company after leaving
How to place your order
To place your order for our easy to use Shareholders Agreement template, simply ‘Add to cart’ and complete the transaction details, once your order is placed you will be able to instantly download your Shareholders Agreement template. Our Shareholders Agreement template is designed to be simple and straightforward to use, if you have any problems or questions then do not hesitate to contact a member of our team.