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This video tutorial provides an overview of shareholder agreements for companies, particularly for small businesses that often emerge from an individual's idea and collaborative efforts. It discusses decision-making processes, noting that company law allows shareholders with over 50% ownership to pass motions at meetings and those with over 75% to control the company outright. This majority rule can create challenges in situations where founders hold equal shares or when ownership varies among directors and other stakeholders. The tutorial highlights the importance of having a shareholder agreement to address decision-making, disagreements, and the potential exit of partners.
