When it comes to buying and selling shares in a company, a share purchase agreement (SPA) is a crucial document that outlines the terms and conditions of the transaction. A well-drafted SPA ensures that both parties involved in the transaction are protected and aware of their legal obligations. However, creating an SPA from scratch can be a daunting task, especially if you are not familiar with its format and structure. In this article, we will discuss the simple share purchase agreement format that you can use as a guide.


The introduction of the SPA should clearly state the names of the parties involved in the transaction, the date of the agreement, and the purpose of the document. It should also mention any relevant laws and regulations that govern the transaction.


The definitions section should provide a clear understanding of the terms used in the agreement. It should include key terms such as “shares,” “purchase price,” “completion,” and “closing date.”

Sale and Purchase of Shares

This section outlines the details of the share purchase, including the number of shares being sold, the purchase price, and any conditions attached to the sale. It should also mention the parties responsible for paying any taxes or fees associated with the transaction.

Representations and Warranties

The representations and warranties section provides assurance to the buyer that they are receiving the shares as a good and clear title. This section should outline any relevant information about the company, including its financial standing, legal status, and compliance with regulatory requirements.

Conditions Precedent

This section outlines any conditions that must be met before the transaction can be completed. These may include regulatory approval, the completion of due diligence, or the satisfaction of financial requirements.


The completion section outlines what happens once all conditions precedent have been met. It should provide details about the transfer of shares, payment of purchase price, and any other matters relevant to the completion of the transaction.


This section outlines the obligations of each party to indemnify the other for any losses or damages resulting from a breach of the agreement. It should also mention any limitations or exclusions to the indemnification obligations.

Governing Law and Jurisdiction

This section provides details about the law that governs the agreement and the jurisdiction in which any disputes will be resolved.


The SPA should be signed by both parties and any witnesses involved in the transaction.


Creating an SPA can be a complex process, but following a simple share purchase agreement format can help ensure that all relevant terms and conditions are included. Remember that it is crucial to seek legal advice when drafting an SPA, as every transaction is unique and may require specific provisions.