SHAREHOLDERS – GET IT AGREED!
Caroline Armitage, partner at Thomas Eggar LLP advises that shareholder agreements are set out clearly in advance to avoid difficulties as the business and circumstances change…At the start of a new commercial venture or relationship, the importance of a shareholders' agreement is often under-estimated or neglected altogether. A new relationship does not necessarily arise only when a company is formed, but can arise when new investors or employees are given equity in the company. It is important to record the parties' agreed intentions and rights at such a time, for the protection of all