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Hi guys, Brend here from Company Partners. In this short video, I want to quickly explain the importance of having a share certificate and a shareholders agreement in place. Its important to understand the difference between a director and a shareholder. A director is registered on the company registration documents and is in charge of the day-to-day management and operations of a company. A shareholder, on the other hand, is the one who owns the company and has the power. A director and a shareholder are not the same. Although one person can be a director and the shareholder, its not the same function. A director without shares in a business is a glorified employee that can be held liable if the business goes bankrupt and there was irregular spending or unethical behaviour. When you register your company at CIPC, note that CIPC only records the directors of the company on the registration documents and not the shareholders. The shareholders is an intern