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In this tutorial, Jaspreet Potter, a corporate commercial solicitor at IBB Solicitors, explains the importance of a shareholders agreement. This contract is established between a company and its shareholders to regulate their relationships, outlining personal rights and obligations alongside the company's articles of association. The agreement serves to prevent future disputes and provides a framework for resolving any issues that may arise. Potter emphasizes the necessity of creating a shareholders agreement as soon as the company is incorporated or begins trading, as it is easier for parties to reach consensus at this initial stage rather than after the business is operational.