Document background
The Single Shareholder Agreement is a crucial legal document used in Nigeria when establishing or formalizing the relationship between a company and its sole shareholder. This agreement is particularly relevant in the context of the Companies and Allied Matters Act (CAMA) 2020, which recognizes and provides for single-member companies in Nigeria. The document serves multiple purposes: it defines the shareholder's rights and obligations, establishes corporate governance frameworks, outlines management structures, and sets procedures for key business decisions. It's commonly used when incorporating new single-shareholder companies, converting existing companies to single-shareholder status, or formalizing arrangements in existing single-shareholder companies. The agreement also typically includes provisions for potential future changes, such as additional shareholders or company sale, while ensuring compliance with Nigerian corporate law requirements.
