Value of a Custom Shareholder Agreement

Contact Neufeld Legal PC at 403-400-4092 / 905-616-8864 or Chris@NeufeldLegal.com

Customizing the unanimous shareholders agreement to address the current and future expectations of the corporate stakeholders can be invaluable.

With a significant part of my legal practice having been spent on drafting and negotiating unanimous shareholders agreements and dealing with the fall-out of shareholders situations, especially when the controlling agreement was grossly deficient for purposes of dealing with the conflict, it is abundantly clear that most corporate stakeholders would be far better served by having a customized shareholders agreement drafted that is capable of better serving their commercial aspirations.

Spending the time and money that goes into designing a custom unanimous shareholders agreement, which strives to better address the ambitions of the corporate shareholders, is essential to the company's success. For which such a contractual framework in place, the parties to the agreement tend to have greater confidence in committing to the ongoing development of the company and have appropriate safeguards and exit strategies, such that interests and investments are that much better protected.

Personally, I cannot over-emphasize how important it is to a company's future that it have a customized unanimous shareholders agreement, given the corporate and personal tragedy (financially and legally) that I have seen in the absence of an appropriate legal agreement. And the most heart-wrenching fact in these tragic situations is that many of the shareholders had committed so much to the company's success, that when there isn't an efficient a legal agreement in place, the repurcussions can be quite devastating.

For knowledgeable and experienced legal representation in negotiating and drafting a shareholders agreement that advances your business interests and those of the corporation, contact us at 403-400-4092 [Alberta], 905-616-8864 [Ontario] or Chris@NeufeldLegal.com.

What is a Unanimous Shareholders Agreement?

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