Legal Importance & Sanctity of Executing a Shareholders Agreement (SHA): Lawyers Advice
A Shareholders Agreement is essentially an agreement entered into between the company and shareholders, which enlist the rights and obligations of the shareholders. It is made with the objective of promoting and protecting investment in the company and establishing a fair relationship between the shareholders. It plays a huge role in governing how the Company is to be run. Shareholders Agreement contains certain important things such as- • The structure of the Company • Rights and obligations of the shareholders • Regulation on sharing and transferability of shares •...
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