Shareholder agreements – from £300.00 plus VAT
A shareholders agreement is essentially a contract. It can be made by all members of a company, or just some of them. Even people who are not shareholders can be party to the agreement if this is appropriate. A shareholders’ agreement can be made at any time during the lifetime of a company, but is most commonly made when a new company is set up, thereby establishing areas of agreement between those involved. A shareholders’ agreement usually contains a series of mutual promises by the parties to the agreement, which provide the consideration for the contract. Typical clauses include:
- Regulations regarding the ownership and voting rights of members;
- How the company is to be controlled and managed;
- Provisions for any potential disputes between the shareholders;
- Nature and amount of initial consideration;
- Proposed nature of the business;
- How future capital contributions are to be made;
- Allocation of key roles and responsibilities.