A shareholders agreement is fundamentally important to your business. There are numerous issues that can arise that can give rise to serious disputes between shareholders and more often than not, shareholder disputes can jeopardise the entire business. It is also vital that a shareholders agreement is concluded in conjuction with the Memorandum of Incorporation for the Company, particularly as the Companies Act 2008 provides that in relation to certain vital aspects a Memorandum of Incorporation will override and take precedence over a shareholders agreement.
If you are purchasing (or selling) a business, it is critical that you conclude a written agreement. This agreement ticks the boxes and also includes a restraint of trade in terms whereof the seller of the shares undertakes to not compete with the Company.