Shareholder Agreements

Your project is up and running, and you're about to go for your first funding round (pre-seed/seed). It's time to bring on partners, create the legal structure, draft your statutes, and... hear about the shareholder agreement.

What’s a Shareholder Agreement?

It’s a private contract between shareholders, unlike the statutes which govern your company in the public eye. This is where you can plan for the best and the worst.

What clauses should be in a Shareholder Agreement?

• Clauses Related to Company Management:

  • Appointment of Directors Clause

  • Enhanced Majority Clause (for key decisions)

  • Differentiated Voting Rights Clause

  • Veto Clause

• Clauses Related to Capital:

  • Vesting Clause (most important !!!!)

  • Milestones Clause