Hey Entrepreneur. Be undeniably good.
If your company has two or more shareholders, you may wish to consider having a shareholders agreement.
A shareholders agreement is a contract between the shareholders and the company that sets out certain rights and obligations.
Our Incorporation Packages
Our complete package includes:
1. Advice. Good, clear advice on business structures
2. Name. Name Reservation and advice on corporate names
3. Incorporation. All incorporation and post-incorporation documents including:
- Notice of Articles
- Incorporation Application
- Certificate of Incorporation
- Custom Articles with multiple share classes (including voting, participating, and preferred share classes – don’t worry, we’re happy to discuss what this all means)
- Share Certificates
- Central Securities Register
- Directors Register
- Share subscriptions
- Corporate Resolutions
4. Records Book.
5. Next Steps. A meaningful meeting, with a lawyer to discuss your new corporation, what it all means, and your business goals.
Our Fees $799
Government Name Reservation Fee $30
Government Incorporation Application Fee $350
Records book, certificates, BC Online Fees & Office Expenses $20
*plus taxes (Government fees are non-taxable)
What is it?
Topics that are often covered include:
1. Agreement on corporate matters. Who are the directors? Any restricted activities? Any matters requiring unanimous approval?
2. Death of a Shareholder. What happens to a shareholder’s shares? Am I now in business with my deceased business partner’s spouse now? These provisions set up a mechanism for buy-out, often using life insurance.
3. Right of First Refusal. I want out. How do we do that?
4. Non-Competition. What happens if my business partner leaves? Can he/she immediately compete, using the knowledge, clients, and contacts acquired during his/her time with the company? Set up a reasonable limitation to protect the legitimate business interests of the company.
5. Draw Along and Drag Along Rights. I found a buyer. But my business partner doesn’t want to sell. Or, my business partner found a buyer but I don’t want to work with this buyer. How do we deal with this?
6. Compulsory Buy-Out and Shotgun Clause. Our relationship has broken down. We’ve reached a stalemate. Now what?
7. Mechanism for Dispute. We’re in a fight. But court’s too expensive. What about arbitration?