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1. Parties: Identifies all family member shareholders and any other shareholders, including their full legal names and addresses
2. Background: Sets out the history of the family business, current ownership structure, and purpose of the agreement
3. Definitions and Interpretation: Defines key terms used throughout the agreement and interpretation rules
4. Family Business Values and Vision: States the core family values, business vision, and long-term objectives
5. Share Ownership and Capital Structure: Details the current shareholding structure and classes of shares
6. Management and Governance: Outlines the management structure, board composition, and decision-making processes
7. Family Council: Establishes the Family Council structure, membership, roles, and responsibilities
8. Share Transfer Restrictions: Details restrictions on share transfers, including right of first refusal and tag-along/drag-along rights
9. Succession Planning: Outlines succession planning principles and procedures for both ownership and management
10. Dividend Policy: Sets out the policy for profit distribution and dividend payments
11. Dispute Resolution: Details the process for resolving disputes between family members and shareholders
12. Exit Mechanisms: Specifies procedures for shareholder exit, including share valuation methods
13. Confidentiality: Defines confidentiality obligations regarding family and business information
14. General Provisions: Contains standard boilerplate clauses including governing law, notices, and amendments
1. Employment of Family Members: Used when there's a need to establish specific policies for family member employment in the business
2. Family Office: Include when the family business requires a separate entity to manage family wealth and investments
3. Corporate Social Responsibility: Added when the family wishes to formalize their commitment to social causes and community engagement
4. International Operations: Include when the family business has or plans to have significant international operations
5. Intellectual Property Rights: Required when the family business has significant IP assets to protect
6. Family Education and Development: Include when establishing formal programs for next-generation development
7. Shariah Compliance: Added when the family business needs to ensure compliance with Islamic principles
8. Non-Family Shareholders Rights: Include when there are or may be significant non-family shareholders
1. Schedule 1 - Current Shareholding Structure: Detailed breakdown of current share ownership and share classes
2. Schedule 2 - Family Council Charter: Detailed rules and procedures governing the Family Council
3. Schedule 3 - Reserved Matters: List of decisions requiring special majority or family council approval
4. Schedule 4 - Share Valuation Methodology: Detailed methodology for valuing shares in transfer or exit scenarios
5. Schedule 5 - Family Employment Policy: Detailed criteria and procedures for family member employment
6. Schedule 6 - Dividend Policy Details: Specific formulas and procedures for dividend calculations and distributions
7. Appendix A - Family Business Constitution: The overarching family business principles and values document
8. Appendix B - Family Member Contact Details: Current contact information for all family members
9. Appendix C - Corporate Structure Chart: Diagram showing the corporate structure and relationships between entities
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