Shareholder Agreements

A well-drafted shareholder agreement protects your business from uncertainty and conflict. ALG Lawyers helps companies in Abbotsford, Surrey, and Vancouver create clear, comprehensive shareholder agreements that define rights, expectations, and decision-making—so your business stays stable and future-ready.

Why Shareholder Agreements Matter
Common reasons businesses seek our help include:

  • Unclear roles or decision-making authority.
  • Disagreements between founders.
  • Bringing in new partners or investors.
  • They need help understanding share classes, directors, officers, and corporate records.
  • Succession planning or share transfers.
  • Protecting minority or majority shareholders.

Key Components of a Shareholder Agreement

1. Decision-making and voting rights

Outlines how major business decisions are made.

2. Share structure and restrictions

Defines who can own shares, how new shares are issued, and how dilution is handled.

3. Exit and buy-sell mechanisms

Including:

  • Right of first refusal (ROFR)
  • Shotgun clause
  • Buyout formulas
  • Mandatory sale provisions

4. Dispute-resolution procedures

Clear steps for resolving disagreements quickly and fairly.

5. Roles and responsibilities

Clarifies what each shareholder is expected to contribute.

6. Death, disability, or divorce provisions

Protects the corporation from unexpected life events affecting ownership.

ALG’s Approach to Shareholder Agreements

We take time to understand your business, working collaboratively with accountants and advisors where needed. Our agreements are practical, clear, and built to reduce conflict, using language your team can understand—not legal jargon.

Whether you’re starting a new venture or strengthening an existing one, we help build a framework for lasting success.

What to Consider

Even the strongest partnerships benefit from clear rules and processes.

  • How decisions should be made (unanimous vs. majority)
  • Whether shares can be sold to outsiders
  • How to handle a shareholder who wants out
  • How to value the company if a buyout occurs
  • How future growth or investors will be handled
  • What protections minority shareholders need

Take the First Step

Call 604-337-6254 or contact us for a free initial consultation to discuss your shareholder agreement.