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A Relationship Agreement sets out the key terms between business partners, shareholders, or joint venture parties in Hong Kong. It works like a roadmap for how parties will work together, covering crucial points like decision-making rights, profit sharing, and dispute resolution methods.

Common in Hong Kong's business landscape, these agreements help prevent future conflicts by clearly defining each party's roles, responsibilities, and exit options. While not required by the Companies Ordinance, a well-drafted Relationship Agreement offers vital protection for all involved parties and often includes provisions for confidentiality, non-compete clauses, and transfer of ownership rights.

Use a Relationship Agreement when starting any significant business partnership in Hong Kong, especially before committing resources or sharing sensitive information. This includes launching joint ventures, bringing in new shareholders, or forming strategic alliances with other companies.

The ideal time to create this agreement is during early negotiations, when parties are still aligned and eager to cooperate. Getting it done early helps avoid costly disputes later - particularly around profit distribution, management control, and exit rights. Many Hong Kong businesses draft these agreements alongside their initial investment documents to ensure all parties start with clear expectations.

• Relationship Agreement: Standard business partnership framework covering core operational terms and governance
• Non Circumvention Non Disclosure & Working Agreement: Focuses on protecting confidential information and preventing business partners from bypassing each other
• Pre Marriage Agreement: Regulates personal and financial relationships before marriage, especially common among Hong Kong's business families
• Consensual Agreement: Documents mutual understanding and consent between parties in personal relationships
• Cohabitation Rental Agreement: Combines living arrangements with relationship terms for unmarried couples sharing property

• Business Partners: Key parties who sign and are bound by the Relationship Agreement, including joint venture participants, shareholders, and strategic allies
• Corporate Lawyers: Draft and review agreements to ensure compliance with Hong Kong company law and protect clients' interests
• Company Directors: Negotiate terms and oversee implementation of the agreement's governance provisions
• Investment Bankers: Often involved when agreements relate to mergers, acquisitions, or significant investments
• Compliance Officers: Monitor adherence to agreement terms and maintain required documentation for regulatory purposes

• Basic Details: Gather full legal names, business registration numbers, and contact details of all participating parties
• Business Structure: Document ownership percentages, voting rights, and management responsibilities
• Financial Terms: Outline profit sharing, capital contributions, and expense allocation arrangements
• Exit Strategy: Define procedures for share transfers, buyouts, and dispute resolution methods
• Compliance Check: Our platform ensures your agreement aligns with Hong Kong company law while using clear, enforceable language
• Review Process: Have all parties carefully review draft terms before finalizing the agreement

• Party Details: Full legal names, addresses, and registration numbers of all participating entities
• Scope & Purpose: Clear description of the business relationship and intended goals
• Rights & Obligations: Detailed responsibilities, decision-making powers, and operational control
• Financial Terms: Profit sharing, capital contributions, and expense allocation mechanisms
• Governance Structure: Management roles, voting rights, and meeting procedures
• Termination Clauses: Exit options, notice periods, and consequences of breach
• Dispute Resolution: Hong Kong jurisdiction, mediation procedures, and arbitration provisions
• Execution Block: Proper signature spaces with witness requirements under Hong Kong law

While Relationship Agreements and Business Acquisition Agreements both govern business relationships in Hong Kong, they serve distinctly different purposes. Let's explore the key differences:

• Timing and Duration: Relationship Agreements establish ongoing operational frameworks between parties, while Business Acquisition Agreement focuses on a one-time transaction
• Scope of Control: Relationship Agreements outline shared decision-making and mutual obligations, whereas acquisition agreements transfer complete control from one party to another
• Financial Structure: Relationship Agreements typically cover profit sharing and ongoing expenses, while acquisition agreements detail purchase price, payment terms, and asset valuation
• Risk Allocation: Relationship Agreements focus on operational risks and dispute resolution, while acquisition agreements emphasize warranties, indemnities, and due diligence protection
• Exit Mechanisms: Relationship Agreements include flexible withdrawal options, whereas acquisition agreements generally conclude once the transfer is complete