Shareholders' Agreement

A shareholders' agreement is a legally binding document that outlines the rights, responsibilities, and relationships among shareholders in a company. It serves as a key governance tool, providing a framework for decision-making, dispute resolution, and protection of shareholders' interests. The agreement typically covers various aspects, including the rights and obligations of shareholders, voting rights, restrictions on share transfers, dividend policies, management and control of the company, and mechanisms for resolving disputes. By setting out these terms and conditions, a shareholders' agreement helps to establish clarity, transparency, and accountability among shareholders, ensuring that their rights and interests are safeguarded. It is an important document that contributes to the smooth functioning and long-term stability of the company.