Shareholder and partnership agreements are the keystones to a well-managed business. These agreements are crucial to the business function as they speak to ownership, management and corporate administration.
A shareholder agreement can be used to achieve certain business objectives such as preserving a shareholder’s proportionate interest, controlling shareholder voting rights, governing management issues, providing liquidity, stipulating to an exit strategy and resolving management disputes and deadlocks.
A partnership agreement is used to achieve business objectives too. However, Illinois law has rules about terms that can and cannot be stipulated to in partnership agreement. Our attorneys can counsel business owners on the law and its implications.
Buy/sell agreements are a tool often used by businesses to restrict the transfer of shareholder interests based upon certain triggering events, i.e. death, termination of employment, or divorce. Family businesses can effectively use buy/sell agreements to preserve exclusive family ownership of the business. Our attorneys are experienced in counseling business clients on the advantages and utility of buy/sell agreements to their business.