Document background
The Stakeholders Agreement serves as a crucial governance document for Australian companies where multiple parties hold interests in the business. It is particularly vital for private companies, joint ventures, and startup enterprises where clear delineation of rights, responsibilities, and procedures is essential. The agreement typically comes into play during company formation, when new investors join, or when existing arrangements need formalization. It addresses key aspects such as share ownership, voting rights, board composition, decision-making processes, and exit mechanisms, all while ensuring compliance with Australian corporate law. The document helps prevent future disputes by establishing clear protocols for various business scenarios and protecting the interests of all stakeholders involved.
