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Family Business Shareholders Agreement
"Need a Family Business Shareholders Agreement for our third-generation manufacturing business in Singapore, with specific provisions for next-generation succession planning and a detailed framework for family member employment in management positions by January 2025."
1. Parties: Identifies all family members and entities who are shareholders and parties to the agreement
2. Background: Sets out the history of the family business and purpose of the agreement
3. Definitions and Interpretation: Defines key terms and interpretation rules used throughout the agreement
4. Shareholding Structure: Details current shareholding distribution and share classes
5. Management and Control: Governance structure, board composition, and decision-making processes
6. Share Transfer Restrictions: Rules regarding transfer of shares, including right of first refusal and tag-along/drag-along rights
7. Dividend Policy: Framework for profit distribution and dividend declarations
8. Dispute Resolution: Procedures for resolving family and business disputes
1. Family Council: Structure and role of family council in business governance - recommended for larger family businesses with multiple branches
2. Employment of Family Members: Policies regarding family member employment in the business - recommended when family members are actively involved in business operations
3. Succession Planning: Framework for leadership transition and next-generation involvement - recommended when planning for future generational transfer
4. Family Constitution Reference: Integration with family constitution if one exists - recommended when family has a separate family constitution
5. Business Valuation Methods: Agreed methods for valuing shares and business - recommended when specific valuation methodology is required
1. Current Shareholding Schedule: Detailed breakdown of current share ownership
2. Family Tree: Visual representation of family relationships
3. Corporate Structure Chart: Diagram of company ownership structure
4. Board Composition: Current board members and their roles
5. Reserved Matters: List of decisions requiring special approval
6. Share Valuation Formula: Agreed methodology for share valuation
7. Family Employment Policy: Detailed policies for family member employment
Authors
Annual General Meeting
Board
Business
Business Day
Company
Company Secretary
Confidential Information
Control
Directors
Dividend
Effective Date
Encumbrance
Fair Market Value
Family Business
Family Council
Family Member
Family Office
Financial Year
Group
Holding Company
Independent Director
Intellectual Property Rights
Management Committee
Material Contract
Next Generation Family Member
Non-Family Director
Ordinary Resolution
Original Shareholders
Parties
Permitted Transferee
Related Corporation
Reserved Matters
Restricted Business
Share
Shareholder
Shareholders' Meeting
Special Resolution
Subsidiary
Tag-Along Right
Transfer
Valuation
Voting Rights
Board Composition
Shareholders' Rights and Obligations
Share Transfer Restrictions
Pre-emptive Rights
Tag-Along Rights
Drag-Along Rights
Dividend Policy
Reserved Matters
Management Rights
Family Employment
Succession Planning
Dispute Resolution
Confidentiality
Non-Competition
Information Rights
Exit Mechanisms
Valuation
Family Council Governance
Amendment Procedures
Death and Incapacity
Share Issuance
Decision Making
Voting Rights
Board Meetings
Shareholders Meetings
Business Plans
Financial Reporting
Termination
Deadlock Resolution
Force Majeure
Notices
Severability
Entire Agreement
Governing Law
Assignment
Third Party Rights
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