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#Shareholder #agreements should be #drafted by a #legal expert who has a great deal of #experience in drawing #legal documents. Here is the list of very basic important clauses that you should never forget to add into your shareholder agreement;
1. The agreement should define the #business of the #company. It clearly helps the shareholders to know about the business in which they are #investing
2. The agreement should clearly state as to how the shares have been distributed and how many shares a particular shareholder holds. The agreement should also state the #equity percentage of shares.
3. The agreement should state about the shareholder meeting. It should clearly state as to how many such meetings will be held #monthly or #annually and what subjects will be discussed in those meetings.
4. The agreement should have #restrictive #clause for the sale of shares to any third party. This is a very important clause and should not be missed at all as it is essential for the benefit and interests of the company.
5. The agreement should have pre-emption clause too. It works in the favour of shareholders and keeps them above the other aspirants of shares of the company in purchasing or subscribing battle. It can be regarded as clause that prioritize existing shareholders.
There is much more to what should you add in your shareholder agreement. I shall add another post regarding other clauses that you can use to protect the interests of #controlling shareholders, company or #minority shareholders. If you need any #assistance or help as regards your shareholder agreement, you can take my #help.
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