Writing the Shareholder's Agreement
- Updated on 02 Jul 2019
Once your company has been incorporated, it is now time to organize and regulate relations between shareholders. This is where the Shareholders' Agreement comes in, since it is a contract between the shareholders. This document sets out their rights and obligations towards the company, defines the relations between shareholders, specifies the solutions to be followed in the event of various events, and protects the company's interests in the event of a conflict. In other words, the shareholders' agreement makes it possible to anticipate many events that could arise in the life of the company and between the shareholders, but also to organize the procedures for transferring shares in the event of the withdrawal or death of a shareholder.
Our startup Lex Start has made a 15 minute course that will help you navigate this. Watch the course here.
This course will help you answer these questions:
- What are the topics covered by the shareholders’ agreement?
- When is the best time to sign a shareholders’ agreement?
- Do all shareholders have to sign it?
- What is the purpose of a shareholders’ agreement?
- What are the equity clauses?
- Which ones regulate decision-making?
- With what clauses can we anticipate the departure of a shareholder?
- How can we ensure that a shareholder does not compete?
- What are the next steps?