A Shareholders’ Agreement is a legally binding document that outlines the rights, responsibilities, and obligations of the shareholders of a company. It is typically used in closely held corporations or startups to govern the relationship between shareholders and to protect their interests. While the specific contents of a Shareholders’ Agreement can vary depending on the company’s needs and the preferences of the shareholders, here are some common provisions that are often included:

Shareholder Rights and Obligations:
Specifies the rights and responsibilities of each shareholder, including voting rights, information access, and participation in key decisions.
Share Classes and Ownership:
Details the different classes of shares, their respective rights, and restrictions on the transfer of shares.
Management and Decision-Making:
Outlines the decision-making process, including how board members are appointed, voting thresholds for major decisions, and dispute resolution mechanisms.
Dividend Distribution:
Specifies how profits will be distributed among shareholders, including any preferential treatment for certain classes of shares.
Preemptive Rights:
Allows existing shareholders the right to purchase additional shares before they are offered to external parties, helping maintain control.
Exit Strategy:
Addresses the process for selling the company, including how the sale price will be determined and who has the right of first refusal.
Non-Compete and Non-Disclosure Clauses:
Prevents shareholders from competing with the company or disclosing sensitive information to third parties.
Dispute Resolution:
Specifies mechanisms for resolving disputes among shareholders, such as mediation or arbitration.
Drag-Along and Tag-Along Rights:
Outlines the conditions under which majority shareholders can force minority shareholders to sell their shares (drag-along) or allow minority shareholders to join in a sale initiated by majority shareholders (tag-along).
Buy-Sell Agreement (Shotgun Clause):
Allows shareholders to trigger a buyout of another shareholder’s shares at a predetermined price or through a negotiation process in case of disagreements or other triggering events.