Shareholders Agreements For Businesses - Why They Are So Important!

Get Legally Speaking With Hatti Suvari

Statics quote that up to 70% of business partnerships ultimately fail, even though setting up a business with people we know – whether colleagues, family or friends, and with whom we already have established relationships with, is very common; and we assume the relationship will be trusting, life-long and solid. Legally formalising your business relationship with a shareholder’s agreement, can seem unnecessary, and to some, even an uncomfortable subject to discuss with their new business partner or partners. When entering in to an exciting new business venture, it is not the 'good times' that could be the problem, however, it is how you will resolve issues, challenges and disagreements when they arise. Without a shareholder’s agreement in place outlining the understanding of the business relationship, you are at risk of damaging your business and your relationship with your business partner; and if matters cannot be resolved amicably, fighting a very costly and stressful legal battle can certainly take its toll. In this episode seasoned Barrister Tim Sampson and I bring you jargon free information on what a shareholder’s agreement is all about, top tips on what you should look out for when getting one drawn up, and why having one in place is so important, as always in plain and simple English.#shareholdersagreement #aclassshares #bclassshares #companyownership #legallearning #hattisuvari #timsampson Hosted on Acast. See acast.com/privacy for more information.Learn more about your ad choices. Visit podcastchoices.com/adchoices