Read the document to make sure it meets your needs and that you’ve provided all of the necessary information about the company and its rules. Remember that, if you have any questions, you can Ask a lawyer for advice.
Shareholders agreement checklist
Make it Legal™ Checklist
Here are a few important steps to take to finish your document
This Shareholders’ Agreement is a special type of document called a deed. Deeds must be executed (ie signed) in a certain way in order to be legally binding. To sign your Shareholders’ Agreement, you should:
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Print a copy of the Shareholders’ Agreement for each shareholder and one for the company directors.
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All shareholders should sign each copy of the Agreement. Each signature must be witnessed. The chosen company director(s) must also sign each copy on behalf of the company. If only one director is signing, their signature must also be witnessed. A witness should be:
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not another party to the deed (ie not one of the other shareholders or directors)
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independent and unconnected with the parties (eg not a family member)
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over 18 years of age, and
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of sound mind
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After watching a shareholder or director sign the deed, their witness should sign the deed and add their (ie the witness’) name, address, and occupation directly underneath the relevant shareholder or director’s signature.
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Complete the Agreement by writing the date in the space provided at the top of the Agreement. The date should be the date that the last person signs the Agreement.
It is usually possible for deeds to be signed electronically, but if this is done, extra care must be taken to ensure that all of the execution formalities for the particular type of deed are met. This deed is, therefore, designed to be signed by hand (ie wet-signed) to ensure that it is correctly executed (eg witnessed).
For more information, read Execution of deeds.
Each shareholder should keep their own original signed Agreement. The company should keep its (ie the directors’) original signed copy and a copy for its records.
A copy of your Shareholders’ Agreement will also be stored automatically in your Rocket Lawyer account ‘Dashboard’.
