A critical part of starting a new business venture with a partner or multiple investors, is the development of a shareholder’s agreement.
This agreement will act as the foundation for your business and guide how various matters are handled moving forward. While there are many important elements in a shareholder agreement, one area that tends to be forgotten is how the business will be valued moving forward.
It is important to address valuation methods that include planning for how to approach offers to buy or sell the business, if one partner or investor wants to exit, is forced to exit or becomes incapacitated. Your agreement must outline clearly how the business is valued and it results in a value that is perceived as fair by all the parties involved.
With our extensive experience in this area, we can ensure the business valuation provisions of your shareholders’ agreement are both reasonable and tailored to your needs. With these provisions in place, you can have peace of mind knowing you are covered if these situations arise.
