We work with partnerships and small to medium-sized companies in drawing up comprehensive agreements that are tailored to their unique requirements.
Partnership agreements
Some partners fail to make an agreement in the early days of their partnership. It is recommended to put an agreement in place as soon as possible to ensure that each partner understands their obligations and the limits of their powers. We can work with clients to draw up bespoke partnership agreements and advise on the type of partnership, including limited liability partnerships.
Key clauses in a partnership agreement include:
- Ownership of partnership assets
- How profits, losses and liabilities will be shared
- How a meeting can be called
- How a partner can be added/removed or can leave
- How disputes will be resolved
- How many partners need to agree on a decision
- Who will make decisions, including authorising borrowing
- Non-compete clauses
Shareholder agreements
Shareholder agreements give company shareholders the rights to limit company directors from taking certain actions and greater autonomy in significant decision-making. A balanced agreement ensures that shareholders feel they can protect the company’s interests where necessary, but also gives directors enough flexibility to grow the business.
We work with clients to draw up bespoke shareholder agreements that suit the needs of their company.
Key clauses in a shareholder agreement include:
- Deadlock, drag-along and tag-along provisions
- Good and bad leaver provisions
- How disputes will be resolved
- How one shareholder can buy the holding of another shareholder
- Issues on which shareholders can vote
- Non-compete clauses
- Pre-emption provisions
- Share issues: right to subscribe, right to veto, prevention of sale
- The rights given to shareholders
