The Importance of a Shareholders’ Agreement

We cannot stress enough the importance of a well-drafted Shareholders' Agreement in helping businesses trade effectively and without the disruption of any internal dispute. Not only will the Agreement clarify in writing each Shareholders' rights and obligations but the very process of considering and negotiating the terms of the Agreement will open a level of dialogue so often overlooked by parties eager to get on with running and developing their new business. In our experience, most Shareholder disagreements (whether or not the Shareholders are also Directors) could have been avoided or seriously minimised…Original Article

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