Where two or more people wish to carry on a business through a limited company, a shareholders' agreement should be used. The agreement sets out the duties and responsibilities of the shareholders to the company and regulates their relationship with each other. The shareholders may be either all individuals or all companies/LLPs or a combination of both.
This shareholders' agreement is for use in relation to a UK-based private limited company, whose shareholders are also all UK-based. It is not appropriate for listed companies or companies with more than one class of shares.