In situations where there is more than one person who has investor responsibility for a business, it is a wise and logical decision to create a legal document between you which outlines terms and conditions should certain circumstances arise. For example, what would be the process if one wanted to leave the business, what would happen to the shares held if one was to die; there are so many unforeseen issues that could potentially cause great difficulties within your organisation that having a clear procedural agreement in place would solve.
Within our team at Morlings we have dedicated specialists in corporate and commercial law that will work with you to create a shareholders agreement specifically relevant to your individual business needs. This could cover:
- the voting rights each investor will have
- the votes required for certain decisions to be made;
- those decisions for which unanimous approval will be required;
- a right of first refusal for existing shareholders where an investor wants to sell their shares;
- restrictions on the sale or transfer of shares to third parties;
- the right of existing shareholders to buy the shares of an incapacitated or deceased shareholder for a pre-agreed sum;
- how a shareholder’s interests in the business will be dealt with if their shares need to be sold;
- the rights of shareholders if the business is restructured;
- safeguards to protect the interests of minority shareholders;
- a mechanism to prevent minority shareholders thwarting a business sale or other corporate transaction;
- a mechanism for forcing a disinterested shareholder to leave the business; and
- a procedure for resolving disputes within the business
Advising businesses throughout Kent and beyond
We have offices in Maidstone, Gravesend, Tonbridge, Chatham and Tenterden.
We can also offer meetings at your place of business or via a skype conference call where needed.
We offer an initial appointment to discuss your requirements at a fixed cost of £150 plus VAT. After that we can arrange flexible payment terms, including monthly billing to help you budget.
Get in touch
Call us on 01622 673081 if you need our help. Alternatively, please complete our Contact Us form and we will be in touch as soon as possible.