What is a Share Purchase Agreement?

A share purchase agreement (SPA) is an agreement between 2 parties in which the seller agrees to sell the stated number of shares to the buyer at a particular price. The aim of the document is to prove that the terms of the agreement were mutually agreed upon. Such an agreement specifies the consideration and the number of shares to be sold, the conditions precedent (the authorisations necessary, for example) and covenants by the parties. The shares will be allotted after this agreement is signed (and on the basis of this agreement).

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Advantages of a Share Purchase Agreement

Due Diligence

An SPA is an essential business practice when a shareholder is being inducted. While many new businesses take a casual approach to such matters, the absence of such a document can have several undesirable consequences.

Protects Parties

Such a document gives both parties the opportunity to protect their interests before the shares are transferred. Being a comprehensive document, it covers every aspect of the transaction and is crucial for both parties to examine each clause covered in the document and understand its meaning.

Share Purchase Agreement Procedure

3 Working Days

Once you send in a request, our representative will get in touch with you to understand your requirements. If further details are required, we will contact you for the same. Once these are in, we will connect you to a verified lawyer, who will prepare the draft and send it to you for review within 3 to 4 working days.

2 Working Days

In case you have any clarifications or would like to make changes to the draft, the assigned lawyer will work on them. Two rounds of iterations are included in the original price.

Why Vakilsearch

Access to Experts

We connect you to verified expert lawyers, who will work on your documents until you're completely happy. You can track the progress on our platform at all times.

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Clients are delighted with our service! They have consistently rated us highly because of our focus on simplifying legal requirements and providing regular updates.

200+ Strong Team

Our team of experienced business advisors are just a phone call away, should you have any queries about the process. Our team will ensure that your interaction with professionals is smooth and seamless.