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Shareholders' agreement

Where two or more people wish to carry on a business through a limited company, a shareholders' agreement should be used. The agreement sets out the duties and responsibilities of the shareholders to the company and regulates their relationship with each other. The shareholders may be either all individuals or all companies/LLPs or a combination of both.

This shareholders' agreement is for use in relation to a UK-based private limited company, whose shareholders are also all UK-based.

It's not appropriate for listed companies, or companies with more than one class of shares within its issued share capital (which means it's not appropriate if there are shareholders without voting rights).

Shareholders' agreement

Compatible region(s): Scotland Northern Ireland England Wales

Where two or more people wish to carry on a business through a limited company, a shareholders' agreement should be used. The agreement sets out the duties and responsibilities of the shareholders to the company and regulates their relationship with each other. The shareholders may be either all individuals or all companies/LLPs or a combination of both.

This shareholders' agreement is for use in relation to a UK-based private limited company, whose shareholders are also all UK-based.

It's not appropriate for listed companies, or companies with more than one class of shares within its issued share capital (which means it's not appropriate if there are shareholders without voting rights).

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Shareholders' agreement (Guidance Notes)

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