General Business Advice

Shareholders Agreements

This type of agreement, often used where there is a planned joint venture or where there is no major shareholding in a company, is, as the name suggests, a contract between the shareholders of a company. It is usual to include the rights and duties of the shareholders, how the company will be managed and how the company will be funded.

Shareholders agreements are often done as part of the set up of a new business or where a new shareholder comes on board.

It is not necessary to have a shareholders agreement but where there is none, the company will be run strictly according to its constitution and the potential for dispute is high. If you don't have a shareholders agreement then speak to our Commercial Team who can advise whether it is necessary in your particular business and if so, the terms that need to be agreed by the shareholders. We can assist with the negotiation and formalities of shareholder's agreements.