2 min read
Definition
A shareholders' agreement is a contract between some or all of a company's shareholders that regulates their relationship, sitting alongside the articles of association. It covers matters the articles don't, or covers them in more detail.
In plain terms
It's the owners' rulebook — who decides what, how profits are shared, what happens if someone wants out, and which decisions need everyone's sign-off.
Why it matters for your company
Many agreements require shareholder consent before the company takes on significant debt or new investment. If you're raising finance, check what your agreement demands first. See raising finance with multiple shareholders.
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