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Sale of Shares Agreement Template South Africa – in total to an existing shareholder

Sale of Shares Agreement Template South Africa – in total to an existing shareholder

stars Over 10,000 Happy South African Businesses

Original price was: R 1 468,21.Current price is: R 1 027,75.

Legal agreement outlining complete sale of company shares to existing shareholder.

  • Provides complete liquidity for shareholder.
  • Strengthens existing shareholder’s position.
  • Supports efficient ownership transfer.
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How do I receive my documents once I have paid for them?

Once your order is complete, you will be granted download permission for the document. You will:

  • See download links on the order received page after you have checked out.
  • Receive an email notification which will include download links.
  • Have access to your downloads via the Downloads tab on your ‘My Account’ page when logged in to your account on this website.
What format do you provide the document in?

You’ll receive the document in Microsoft Word. A small number of our documents are only available in PDF, in which case this is stated in the document summary.

What if I don't receive the link?

The two most common reasons for people not receiving the link are : (i) The e-mail address entered into the order form was incorrect; or (ii) the e-mail was directed into your spam folder. First please check your spam folder. If it is not there, contact us.

How can I tell if the document is suitable for my requirements?

Each document is accompanied by a description. Read the description to see if it will meet your requirements. If you are still uncertain, you can Contact Us with a brief overview of what you need the document for and we will respond as soon as possible.

Can I make changes to the contracts and legal documents?

Our documents are provided in MS Word format, allowing you to adjust and alter the agreement as you require. If you do not have legal experience we do caution you to be circumspect about the extent of the changes that you make.

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SALE OF SHARES AGREEMENT

In total, to an existing shareholder

Summary

A Sale of Shares Agreement may be used when a shareholder sells all the shares that they own in a Company to a purchaser, where the purchaser is already an existing shareholder of the Company. A written contract for selling shares includes reference to confidentiality and restraints, amongst other detailed provisions. The Agreement caters for more than one Shareholder selling their shares, if applicable.

Why do I need a Sale of Shares Agreement?

A written contract for selling shares in a company sets out the terms of the sale of a shareholder’s shares to an existing shareholder in the company. A number of issues need to be negotiated during a Company’s sale of equity, such as the purchase price, the handover process, confidentiality, and restraints. These issues need to be included in the Sale of Shares Agreement to eliminate uncertainty and ensure that both sellers and the purchaser understand their respective rights and obligations during the sale.

What does this agreement say?

The template agreement consists of: Parties; Definitions; Sale of shares; Suspensive Conditions; Purchase price and payment; Delivery of documents; Warranties; Indemnities; Breach; Restraint of Trade; Confidentiality; Dispute Resolution; Pre-emptive rights; Notices; General.

Note: if the entity is a close corporation, you’ll need the Sale of Member’s interest Agreement.

What does the contract look like?

The template contract can be printed onto ten pages.

What do you need to do to use the Sale of Shares Agreement?

  • Read the document to ensure that it suits your requirements, and make changes as required. The Agreement can be used for one or more shareholders selling shares, in which event clause 1 (Parties), clause 16 (Signatures) and Annexure 1 (Sale details) can be adjusted accordingly.
  • Complete the relevant details, such as the details of the Seller/s and Purchaser, the name of the Company and the purchase price and terms in Annexure 1. Ensure that any blanks in the document have been completed.
  • Ensure all the parties sign the agreement and receive a copy.
  • The new shareholders should also review their Shareholders Agreement.

Also viewed:

The benefits and use of a Sale of Shares agreement:

A Sale of Shares Agreement (also known as a Share purchase agreement) is a written contract that outlines the terms and conditions of the sale and purchase of shares in a private company when a shareholder sells their shares. This agreement is applicable to all the parties involved in the transaction, including the existing shareholder, the shareholder selling their shares, the purchaser, and other shareholders within the company.

A Sale of Shares Agreements is a template share sale that contains provisions related to the sale of all the shares or a portion of the shares, the purchase price, company details, buyer details, seller details, payment, date, any warranties made by the buyer and seller in respects of the sale of shares template, the transfer of the shares from the seller to the buyer and the obligations of the seller and buyer as well as the rights of each party to the sale of shares . It also includes warranties related to the ownership of the shares being sold and the value of the shares.

One of the benefits of having a document such as a Sale of Shares Agreement or share sale is that it protects the interests of the parties involved in the template sale as well as the company. The agreement helps to avoid disputes by outlining the terms of the template sale and purchase of shares, such as the price one would pay under the share sale document, in a clear and concise manner should a shareholder want to sell. The document also provides pre-emptive rights to other shareholders within the company should someone decide to sell, allowing them the opportunity to purchase the shares before they are sold to a third party.

The Purchase of Shares Agreement is governed by the Companies Act and it is essential that all the documents related to the sale and purchase of shares are in compliance with the Act. The agreement also includes clauses related to dispute resolution and notices.

As an existing shareholder, it is important to understand the terms of the Sale of Shares Agreement, especially if you are considering selling your shares. The agreement outlines, for example, transfer of shares, obligations of each party, the form of the transaction in respect of the agreement between the buyer and seller for the transfer of shares, warranties by both the seller and buyer as well as by representative of the companies where applicable within this document, by the consideration paid for the shares, and the date of payment. It also protects your interest as a person by ensuring that the purchaser pays the purchase price in full and that any breach of the agreement is dealt with appropriately.

What distinguishes this document from a Share Subscription Agreement is that a share subscription contract is used in cases where a company is selling its shares, while in this agreement, a shareholder of the company is selling already issued shares to another party.

In summary, a Sale of Shares Agreement is a vital document for any shareholder involved in the sale or purchase of shares and the transfer thereof in a private company. It protects the interests of all the parties involved in the conclusion of this document and ensures that the transaction is conducted in a fair and transparent manner.

The Online Agreements Shop cc and its members, staff, legal advisers, partners and consultants, agents and any person associated therewith cannot be held liable for any loss or damage that is incurred or may be incurred by any person as a direct or indirect result of the use of this website or any document or information contained on or obtained from this website, nor as a result of anything that is contained in or left out of any document.

How do I receive my documents once I have paid for them?

Once your order is complete, you will be granted download permission for the document. You will:

  • See download links on the order received page after you have checked out.
  • Receive an email notification which will include download links.
  • Have access to your downloads via the Downloads tab on your ‘My Account’ page when logged in to your account on this website.
What format do you provide the document in?

You’ll receive the document in Microsoft Word. A small number of our documents are only available in PDF, in which case this is stated in the document summary.

What if I don't receive the link?

The two most common reasons for people not receiving the link are : (i) The e-mail address entered into the order form was incorrect; or (ii) the e-mail was directed into your spam folder. First please check your spam folder. If it is not there, contact us.

How can I tell if the document is suitable for my requirements?

Each document is accompanied by a description. Read the description to see if it will meet your requirements. If you are still uncertain, you can Contact Us with a brief overview of what you need the document for and we will respond as soon as possible.

Can I make changes to the contracts and legal documents?

Our documents are provided in MS Word format, allowing you to adjust and alter the agreement as you require. If you do not have legal experience we do caution you to be circumspect about the extent of the changes that you make.

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Sale of Shares Agreement in total to an existing shareholder 1
This item: Sale of Shares Agreement Template South Africa - in total to an existing shareholder
Original price was: R 1 468,21.Current price is: R 1 027,75.
Original price was: R 1 468,21.Current price is: R 1 027,75.
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Employment Contract Commission based with probation 1
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Shareholders Agreement 3 or more Shareholders Long Form MOI 3
Original price was: R 1 918,15.Current price is: R 1 342,71.
Sale of Members Interest Agreement in part to a non member 2
Original price was: R 1 373,49.Current price is: R 961,44.
MOI Long Standard Form for Profit Companies 2
R 0,00

SALE OF SHARES AGREEMENT

In total, to an existing shareholder

Summary

A Sale of Shares Agreement may be used when a shareholder sells all the shares that they own in a Company to a purchaser, where the purchaser is already an existing shareholder of the Company. A written contract for selling shares includes reference to confidentiality and restraints, amongst other detailed provisions. The Agreement caters for more than one Shareholder selling their shares, if applicable.

Why do I need a Sale of Shares Agreement?

A written contract for selling shares in a company sets out the terms of the sale of a shareholder’s shares to an existing shareholder in the company. A number of issues need to be negotiated during a Company’s sale of equity, such as the purchase price, the handover process, confidentiality, and restraints. These issues need to be included in the Sale of Shares Agreement to eliminate uncertainty and ensure that both sellers and the purchaser understand their respective rights and obligations during the sale.

What does this agreement say?

The template agreement consists of: Parties; Definitions; Sale of shares; Suspensive Conditions; Purchase price and payment; Delivery of documents; Warranties; Indemnities; Breach; Restraint of Trade; Confidentiality; Dispute Resolution; Pre-emptive rights; Notices; General.

Note: if the entity is a close corporation, you’ll need the Sale of Member’s interest Agreement.

What does the contract look like?

The template contract can be printed onto ten pages.

What do you need to do to use the Sale of Shares Agreement?

  • Read the document to ensure that it suits your requirements, and make changes as required. The Agreement can be used for one or more shareholders selling shares, in which event clause 1 (Parties), clause 16 (Signatures) and Annexure 1 (Sale details) can be adjusted accordingly.
  • Complete the relevant details, such as the details of the Seller/s and Purchaser, the name of the Company and the purchase price and terms in Annexure 1. Ensure that any blanks in the document have been completed.
  • Ensure all the parties sign the agreement and receive a copy.
  • The new shareholders should also review their Shareholders Agreement.

Also viewed:

The benefits and use of a Sale of Shares agreement:

A Sale of Shares Agreement (also known as a Share purchase agreement) is a written contract that outlines the terms and conditions of the sale and purchase of shares in a private company when a shareholder sells their shares. This agreement is applicable to all the parties involved in the transaction, including the existing shareholder, the shareholder selling their shares, the purchaser, and other shareholders within the company.

A Sale of Shares Agreements is a template share sale that contains provisions related to the sale of all the shares or a portion of the shares, the purchase price, company details, buyer details, seller details, payment, date, any warranties made by the buyer and seller in respects of the sale of shares template, the transfer of the shares from the seller to the buyer and the obligations of the seller and buyer as well as the rights of each party to the sale of shares . It also includes warranties related to the ownership of the shares being sold and the value of the shares.

One of the benefits of having a document such as a Sale of Shares Agreement or share sale is that it protects the interests of the parties involved in the template sale as well as the company. The agreement helps to avoid disputes by outlining the terms of the template sale and purchase of shares, such as the price one would pay under the share sale document, in a clear and concise manner should a shareholder want to sell. The document also provides pre-emptive rights to other shareholders within the company should someone decide to sell, allowing them the opportunity to purchase the shares before they are sold to a third party.

The Purchase of Shares Agreement is governed by the Companies Act and it is essential that all the documents related to the sale and purchase of shares are in compliance with the Act. The agreement also includes clauses related to dispute resolution and notices.

As an existing shareholder, it is important to understand the terms of the Sale of Shares Agreement, especially if you are considering selling your shares. The agreement outlines, for example, transfer of shares, obligations of each party, the form of the transaction in respect of the agreement between the buyer and seller for the transfer of shares, warranties by both the seller and buyer as well as by representative of the companies where applicable within this document, by the consideration paid for the shares, and the date of payment. It also protects your interest as a person by ensuring that the purchaser pays the purchase price in full and that any breach of the agreement is dealt with appropriately.

What distinguishes this document from a Share Subscription Agreement is that a share subscription contract is used in cases where a company is selling its shares, while in this agreement, a shareholder of the company is selling already issued shares to another party.

In summary, a Sale of Shares Agreement is a vital document for any shareholder involved in the sale or purchase of shares and the transfer thereof in a private company. It protects the interests of all the parties involved in the conclusion of this document and ensures that the transaction is conducted in a fair and transparent manner.

The Online Agreements Shop cc and its members, staff, legal advisers, partners and consultants, agents and any person associated therewith cannot be held liable for any loss or damage that is incurred or may be incurred by any person as a direct or indirect result of the use of this website or any document or information contained on or obtained from this website, nor as a result of anything that is contained in or left out of any document.