Without a shareholders' agreement, your business may be exposed to unnecessary risk. Here's how a well-drafted agreement protects and empowers your company.

• Succession Uncertainty: When a key shareholder passes away or becomes unable to fulfil their role, it can throw everything into disarray—unless there's a solid succession plan in place. The lack of foresight in these situations can lead to uncertainty and turmoil for the business.
• Expensive Litigation: When disputes arise without a clear path to resolution, they often spiral into lengthy litigation, racking up legal fees that can soar into the tens of thousands. Avoiding this nightmare is key to protecting your finances.

As corporate law specialists, we understand the catastrophic impact these situations can have on even the most successful businesses. A well-crafted agreement acts to mitigate your risks.

When Should You Put One In Place?

• When forming a new company
• When adding new shareholders or investors
• When raising capital or restructuring
• When preparing for growth, succession, or exit

The earlier you implement a shareholders’ agreement, the better positioned you are to manage risk and maintain control. However, implementing a shareholders' agreement at any time is better than not at all.

Our skilled corporate specialists have drafted numerous shareholders' agreements across various industries, providing us with insights into the unique challenges your business might encounter.