Free Shares Agreement Template
SHARES AGREEMENT
This agreement ("Agreement") is made on the first day of April 2050 ("Effective Date")
BETWEEN:
1. [YOUR NAME], an individual residing at Providence, RI 029012 ("Shareholder 1"),
2. Jamie Crooks, an individual residing at Toledo, OH 43601 ("Shareholder 2"), and,
3. Brenda Boyle, an individual residing at Eugene, OR 97401("Shareholder 3")
RECITALS:
A) The parties wish to set out the terms and conditions governing their relationship as shareholders of [YOUR COMPANY NAME] a corporation organized under the laws of [STATE NAME] with its principal place of business at [YOUR COMPANY ADDRESS].
B) The parties execute and deliver this agreement under the authority of and pursuant to the Articles of Incorporation of the Company and the Business Corporations Act.
AGREEMENT:
Shareholder Details:
1. Shareholder 1 will hold 30 percent of the total equity, Shareholder 2 will hold 30 percent and Shareholder 3 will hold 40 percent.
Voting Rights:
2. Each Shareholder shall be entitled to one vote per share at all meetings of the Shareholders, and all decisions shall be made by an ordinary resolution unless otherwise required by law or provided in this Agreement.
Dividend Policy:
3. Subject to the Company's financial position, dividends will be declared and paid annually to the Shareholders in proportion to their holding of shares.
Transfer of Shares:
4. No Shareholder shall sell, transfer, or otherwise dispose of their shares without the first offering such shares for sale to the Company or to the other shareholders at a price determined in accordance with this Agreement.
Buyback Option:
5. In the event of a Shareholder’s intention to sell their shares, the Company shall have first right to buy back these shares at a value to be agreed upon. If the Company does not exercise this right, the remaining shareholders shall have the right to acquire these shares on a pro-rata basis.
Termination:
6. A Shareholder may withdraw from the Company at any time by giving written notice to the other Shareholders. Such withdrawal shall take effect upon the expiry of 30 days from the date of the notice.
IN WITNESS WHEREOF, this Agreement is executed on the date first above mentioned.
[YOUR NAME]
Shareholder 1
Jamie Crooks
Shareholder 2
Brenda Boyle
Shareholder 3
