If managed effectively with investment rules, equity incentives within companies can help startups retain their most talented team members. Finally, if you`re going on an investment, an investor will often want to see that you have your “house in order” and that you have documents that govern the relationship between you and your co-founder (even if they want you to sign another shareholders` agreement once they`ve invested in your business). In addition, a shareholders` agreement may also provide for a mechanism in which a person`s participation is linked to his or her employment (e.g. B its activities as a board of directors), so that, if it were to withdraw, it would have to put its shares up for sale. It can also include different valuation mechanisms, depending on the circumstances in which the relationship with the company ends, so that if the outgoing shareholder is a “bad Leaver” (i.e. they leave under the wrong circumstances), you only pay a nominal price for their shares…