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In this tutorial, Matthew explains how to create a shareholder agreement using legal templates available via a link provided in the video description. He instructs viewers to access the business forms section and utilize the search feature to find the shareholder agreement. Matthew selects Texas as the state for the document and starts filling in details such as the company name (e.g., MK Tips), address, representative's name, title (CEO or managing director), along with information on shareholders and the number of shares. He notes that multiple shareholders can be added as needed.