Business Equity Share Agreement Template

1.1 The shareholders are all shareholders of the company, a company [STATE OF INCORPORATION] and are the sole directors and senior executives of the company. 3.2.5. Do everything in your power to do business with the company in accordance with sound business practices. 4.1. Lack of competition. Each shareholder accepts that, as long as the shareholder owns or owns one of the shares of the company, the shareholder is not directly or indirectly engaged in the same activity or activity similar to that of the business, is not affected or financially interested, or is not in competition with the Corporation. 7.2. Dissolution procedure. From the beginning of the dissolution process (either by election of all shareholders or by other means), the company will cease operations, unless necessary to cease its activities and to distribute its assets. The Chairman or all shareholders or shareholders appointed by the President will, if necessary, take the following actions for the resolution of the Group`s business: 5.3. Periodic distributions of net income. Subject to possible un distributed profits and legal requirements for business distributions, the company`s net income may be distributed to shareholders quarterly in relation to the number of shares of the company owned by them. These distributions are approved by all shareholders.

Shareholders may choose not to distribute, but to offer the funds in the form of loans to the group. PandaTip: When developing this section, think about anything that would embarrass a shareholder if the action were taken without them speaking, perhaps in certain types of business transactions, attitudes or other important measures. 3.3. President. Subject to the limitations of Section 3.7, the president of the company will be its director. The President will control the day-to-day operations of the company, including the following operations: [PRESIDENT ACTIONS W/O APPROVAL]. What is a shareholder contract? A shareholders` pact is a document involving several shareholders of a company, which details the results and concrete measures that are taken in the event of the departure of a shareholder of the company, whether voluntarily, involuntarily or when the company ceases operations. 3.9. Shareholder employment. Shareholders may be appointed responsible for the company as long as they hold shares in the company, carry out their activities and satisfactorily fulfil their duties and obligations, as defined in this agreement, the statutes and statutes of the company. The security, bonds and other terms of employment, including annual salary, will remain in a separate document and must only be approved with the unanimous agreement of the shareholders and can only be changed after the fact.

PandaTip: This model of shareholder agreements defines the conditions for shareholder interaction and what happens when one or more of them want to leave the company or something happens that forces the exit of a shareholder or the closure of the company.