Sale of Shares Agreement | Agreement Sale of Shares Template

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Sale of Shares

Whether you are looking to purchase or sell shares in a private company, you will need to go down the administrative road of conducting a sale of shares. This would ordinarily entail having to go to a firm of attorneys who would need to prepare and draft the necessary documents and contracts in order to successfully transfer those shares.

A Sale of Shares Agreement is the main governing document that serves to set out the details of the transaction, the obligations of each party, the purchase price to be paid, as well as the relevant time frames for the sale.

A sale of shares differs to a sale of business in that a sale of shares is purely a sale of the shares of a company, whilst a sale of business involves the sale of assets of such business.

Included in this Contract

This document contains all the basic aspects of a Sale of Shares Agreement including:

  • Specification of the purchase price;
  • How the purchase price will be paid, such as lump sum or installment;
  • If there is a Shareholders Agreement in place - a clause recording that the purchaser agrees to the terms of the Shareholders Agreement;
  • The transfer date of the shares;
  • Confidentiality provisions;
  • Breach provisions;
  • Dispute resolution provisions.

If you are looking for a package which includes all documents required for a sale of shares, please check out this package:

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Further Reading

Read more about How to Do a Sale of Shares Properly Yourself, Without a Lawyer, click here