Shareholders agreements

A Shareholders Agreement (SHA) is crucial for defining rights, responsibilities, and exit mechanisms for shareholders in a company.

It ensures smooth corporate governance, prevents disputes, and provides a structured framework for decision-making.

How We Hedge?

Ownership & Voting Rights

  • Share Classes & Rights – Structuring equity distribution and preferential rights for different shareholder classes.
  • Voting Power & Control – Defining decision-making authority in key corporate matters.
  • Minority Protection – Implementing safeguards against unfair dilution or corporate actions.

Dividend & Profit Sharing

  • Dividend Declaration Policies – Structuring payout mechanisms based on profitability and reinvestment needs.
  • Profit Allocation Framework – Defining proportionate distribution based on shareholding percentages.
  • Tax Implications & Compliance – Ensuring adherence to corporate tax regulations for dividend payouts.

Transfer & Exit Clauses

  • Right of First Refusal (ROFR) – Giving existing shareholders priority before shares are sold externally.
  • Lock-In & Transfer Restrictions – Preventing early exits that may destabilize business operations.
  • Exit Mechanisms – Defining buyback options, IPO strategies, and liquidity events for shareholders.

Management & Governance

  • Board Composition & Roles – Outlining director appointments, voting powers, and fiduciary duties.
  • Reserved Matters & Veto Rights – Identifying key decisions requiring shareholder or board approval.
  • Operational Oversight – Defining the extent of shareholder involvement in daily business management.

Dispute Resolution

  • Arbitration & Mediation – Encouraging alternative dispute resolution to avoid lengthy litigation.
  • Deadlock Resolution Mechanisms – Structuring tie-breaker clauses for deadlocked decisions.
  • Exit Strategies for Disputes – Offering predefined buyout or dissolution terms in extreme cases.

Drag-Along & Tag-Along Rights

  • Drag-Along Rights – Allowing majority shareholders to force minority shareholders to sell in case of acquisition.
  • Tag-Along Rights – Giving minority shareholders the right to sell alongside majority shareholders in a buyout.
  • Fair Valuation & Protection – Ensuring all shareholders receive equitable treatment in transactions.

Why Choose Hedgesquare?

Expert Guidance

With years of experience in global business expansion, our team of professionals will direct and assist you in every step of the process, offering expert advice and practical solutions.

End-to-End Support

From initial market research and selecting the right country to full registration and compliance management, we provide comprehensive support tailored to your unique needs.

Transparency and Diligence

We believe in maintaining the highest standards of transparency, ensuring you are informed at every stage. Our team works diligently to ensure that all processes are handled smoothly and efficiently.

Global Reach

With a deep understanding of international markets, our network extends globally, making us the perfect partner for setting up your business anywhere in the world.

Accelerate Your Business Growth with Smart Solutions

Leverage our expertise to optimize operations, reduce risks, and drive sustainable success for your business.

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