A share purchase agreement protects the parties involved as it offers freedom to guard
their concerns well ahead of the transfer of shares.
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People hold a stake or ownership in a company through shares. Several times, people buy and sell shares in companies. The person buying shares is the buyer. This transaction of buying and selling shares is done through a legally binding agreement. A share purchase agreement is an agreement between two parties in which the seller agrees to sell the stated number of shares to the buyer at a particular price.
The agreement is made to prove that both parties agreed to the transaction and includes various other details of the transaction. A share purchase agreement can be drafted by legal experts who are aware of the process and the procedure of such a transaction. Vakilsearch is one such organisation that will handle this for you.
A share purchase agreement is a very necessary document as it binds the transaction of shares. It is thus very important that the agreement is specific and includes all the key details. It prevents confusion and covers all areas of the transaction.