When you establish a new company with one or more associates, many of the rules which govern your relationship with them as shareholders in your company will be set out in the Articles of Association. At Malcolm C Foy & Co., we understand that the Articles of Association are unlikely to contain all of the terms that shareholders usually wish to agree between themselves.
So, for example, shareholders might wish to agree:
- A dividend policy – a pre-agreed rule about how much of the profits of the company will be paid to the shareholders
- A voting agreement - to ensure that all or a certain number of shareholders must agree before the company takes any particular course of action
- A non-compete agreement - to ensure that while an associate is a shareholder and for a period of time after the associate does not compete with the company
- We can advise you on the right shareholders’ agreement for you.