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Share Buyout Agreement
"I need a Share Buyout Agreement for purchasing 30% shareholding in an Irish tech startup, with payment to be made in three installments over 2025, and the agreement should include non-compete provisions for the selling founder."
1. Parties: Identification of the buyer, seller(s), and the company whose shares are being transferred
2. Background: Context of the transaction, including current shareholding structure and reason for the buyout
3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement
4. Sale and Purchase: Core terms of the transaction including number of shares, price, and payment terms
5. Conditions Precedent: Any conditions that must be satisfied before completion can occur
6. Completion: Mechanics of the transfer, including timing, location, and actions required
7. Seller's Warranties: Standard warranties about share ownership, authority to sell, and company status
8. Tax Matters: Treatment of tax liabilities and obligations relating to the transfer
9. Confidentiality: Obligations regarding confidential information and announcements
10. Notices: Process for giving formal notices under the agreement
11. General Provisions: Standard boilerplate clauses including governing law, jurisdiction, and entire agreement
1. Earn-out Provisions: Used when part of the purchase price is contingent on future performance
2. Non-Compete Covenants: Required when the seller needs to be restricted from competing post-sale
3. Regulatory Compliance: Needed for regulated companies or when regulatory approvals are required
4. Employee Matters: Important when the seller has been an employee/director and employment arrangements need addressing
5. Intellectual Property Rights: Required when IP ownership or licensing needs to be addressed
6. Minority Shareholder Rights: Needed when other shareholders retain interests in the company
7. Security for Deferred Consideration: Used when payment is not made in full at completion
8. Pre-completion Restructuring: Required when corporate restructuring needs to occur before completion
1. Schedule 1 - Details of the Company: Company information including registration details, directors, and share capital structure
2. Schedule 2 - Completion Requirements: Detailed list of documents and actions required at completion
3. Schedule 3 - Warranties: Full list of warranties given by the seller
4. Schedule 4 - Properties: Details of any company properties if relevant to the transaction
5. Schedule 5 - Intellectual Property: List of company IP rights if material to the transaction
6. Schedule 6 - Employee Information: Details of key employees and their terms if relevant
7. Appendix 1 - Share Transfer Form: Pro forma share transfer form to be used at completion
8. Appendix 2 - Board Minutes: Pro forma board resolutions approving the share transfer
9. Appendix 3 - Disclosure Letter: Seller's disclosures against the warranties
Authors
Financial Services
Technology
Manufacturing
Professional Services
Retail
Healthcare
Real Estate
Construction
Energy
Telecommunications
Media
Transportation
Agriculture
Education
Hospitality
Legal
Finance
Corporate Development
Tax
Compliance
Risk Management
Board of Directors
Executive Management
Company Secretariat
Treasury
Mergers and Acquisitions
Chief Executive Officer
Chief Financial Officer
Company Secretary
Corporate Lawyer
Legal Counsel
Financial Director
Managing Director
Board Director
Corporate Finance Manager
Tax Manager
Finance Manager
Compliance Officer
Risk Manager
Business Development Director
Investment Manager
Shareholder Relations Manager
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