Shareholders Agreement Template Kenya

A shareholders` agreement must set the maximum number of directors and the percentage of shares necessary for the appointment of a director. It should also include provisions on when and how a director may be removed, his or her duties, how meetings will be called and how he or she will vote (i.e. each director will have or will have as many votes as the shareholder who appointed him?). In general, the agreement provides that any issue of new shares will first be offered in proportion to the existing shareholders. This is called the “right of pre-emption” of shareholders and entrepreneurs who should be aware of this right. (i) Any shareholder who intends to transfer shares must first sell those shares for a period of ____ days at purchase value, and then, to the extent that such an offer is refused or not accepted by the corporation within that period, those shares have been offered to all other shareholders for a period of ____ days in relation to the number of such shares at purchase value at purchase value. shares held by them. Each of these offers must be made in writing and indicate the number of shares offered, the name and address of each person whose shares are to be offered, as well as the price per share and other conditions under which each transfer must be made; and each of these offers may be accepted by the offeror, in whole or in part, at any time during the continuation of the offer. If the shares are not acquired in accordance with the above-mentioned tenders, the tenderer is free to transfer these shares to the person or person, at the price of the share and under the other conditions known as “conditions”; provided that such a successor of such shares is subsequently bound by all the provisions of this Agreement. Investors may choose to postpone the discussion on a shareholders` agreement in order to continue the important task of setting up the company.

While they may intend to return later, if there is more time, the opportunity cannot arise and something else is always a priority. Even if they take it up later, shareholders` expectations and feelings towards the company may have diverged by then, making it more difficult for them to agree to the terms that should be included in the shareholders` agreement. This template for shareholder agreements can be used on UpCounsel. You can download this free shareholders` agreement form and have it adapted to your business legal requirements in order to better protect yourself today. What is a partner`s contract? A shareholders` agreement is a document in which several shareholders of a company participate and describes the results and specific measures taken in the event of the departure of a shareholder from the company, whether voluntarily, involuntarily or when the company terminates trading. . . .