Shareholders Agreement

Valuation, Financing, Transaction, Merger, Acquisition, Divestiture, Fairness Opinion, Corporate Finance, Financial Advisor

A Unanimous Shareholders Agreement (USA) provides the terms and conditions that a company and its shareholders will abide by during the course of their ownership.

Shares may be sold by shareholders arising from triggering events such as:

Physical or mental disability
Death
Termination of employment
Withdrawal from share ownership

Shares available pursuant to triggering events may be purchased by:

the company by way of a share redemption
the remaining shareholders of the company by way of transactions between the shareholders

A USA typically provides:

the basis of valuation for such triggering events ; and,
that the company and its shareholders will agree upon the valuation (typically expressed on a per share basis) on an annual or periodic basis.

Our clients engage us to undertake a valuation on an annual or periodic basis for purposes of their USA. The benefits of retaining us include the following:

We are independent and don't have any biases that typically conflict exiting shareholders versus shareholders that are retaining/increasing their share ownership interests.
We are able to utilize our professional judgment that would not otherwise be available if valuations are undertaken internally based on a "formula" which can provides inaccurate and/or significant fluctuations in their valuation.
We are able to bring our knowledge and experience to bear in establishing the valuation and the company and its shareholders can confidently assess whether they are achieving their value creation objectives.