When starting a new business, the shareholders are hopefully in agreement about what they want to achieve and how the business should operate. This is fine but things change and shareholders can find they want different things.
So where there is more than one shareholder, we recommend a Shareholder Agreement is put in place which sets out individual responsibilities, how decisions are to be made and how disagreements are to be resolved should there be a stalemate.
Sadly disagreements between shareholders can escalate and harm the prospects of the business so it is better to have the agreement in place before any problems arise and whilst the shareholders agree..
Howell & Co work closely with Edward Hands and Lewis Solicitors whose commercial department are experts at drafting such agreements. If you would like further advice, please contact us.