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How can I have more decision making power if my private limited company has two shareholders, each with 50% equity (shares)? If there is a solution in terms of shareholder agreement or any other, what is a detailed solution?

Submitted by LegalWizin on Fri, 02/05/2021 - 01:41

In any company the day to day activities are carried on by the directors of the company and not the shareholders. However the directors are authorised to make such decisions either through Articles of the company or by resolution passed at later stage. Further one can make the shareholders agreement where such types of clauses are included which are agreed mutually.

The following points can be covered in the shareholders’ agreement.

  • Decision regarding management of the company
  • Roles and responsibilities
  • Obligations
  • Share Capital and its transfer
  • Distribution of Dividend
  • Resolution of dispute