Document:

Exhibit 4.2

 

Subscription Agreement

 

This subscription agreement (this “Subscription”)
is dated _____, 2019, by and between the investor identified on the signature page hereto (the “Investor”) and ATIF
Holdings Limited, a British Virgin Islands company limited by shares (the “Company”). The parties agree as follows:

 

1.       Subscription.
Investor agrees to buy and the Company agrees to sell to Investor such number of the Company’s ordinary shares, $0.001 par
value per share (the “Shares”), as set forth on the signature page hereto, for an aggregate purchase price (the “Purchase
Price”) equal to the product of (x) the aggregate number of Shares the Investor has agreed to purchase and (y) the purchase
price per share as set forth on the signature page hereto. The Shares are being registered for sale pursuant to a Registration
Statement on Form F-1 (including any post-effective amendments), Registration No. 333-228750 (the “Registration Statement”).
The Registration Statement will have been declared effective by the Securities and Exchange Commission (the “Commission”)
prior to issuance of any Shares and acceptance of any Investor’s subscription. The prospectus, however, is subject to change.
A final prospectus and/or prospectus supplement will be delivered to the Investor as required by law. The Shares are being offered
by Boustead Securities, LLC (the “Underwriter”) as underwriter on a “best efforts” up to $20,000,000. The
completion of the purchase and sale of the Shares (the “Closing”) shall take place at a place and time (the “Closing
Date”) to be specified by the Company and Underwriter in accordance with Rule 15c6-1 promulgated under the Securities Exchange
Act of 1934, as amended (the “Exchange Act”). Upon satisfaction or waiver of all the conditions to closing set forth
in the preliminary prospectus contained in the Registration Statement when it is declared effective by the Commission, at the Closing
(i) the Purchase Price deposited by the Investor subsequent to the declaration of effectiveness of the Registration Statement by
wire transfer of immediately available funds to the Company’s escrow account per wire instructions as provided on the signature
line below shall be released to the Company, and (ii) the Company shall cause the Shares to be delivered to the Investor (A) through
the facilities of The Depository Trust Company’s DRS system in accordance with the instructions set forth on the signature
page attached hereto under the heading “DRS Instructions,” or (B) if requested by the Investor on the signature page
hereto or if the Company is unable to make the delivery through the facilities of The Depository Trust Company’s DRS system,
through the book-entry delivery of Shares on the books and records of the Company’s transfer agent. If delivery is made by
book entry on the books and records of the transfer agent, the Company shall send written confirmation of such delivery to the
Investor at the address indicated on the Signature Page hereof. No fractional Shares shall be purchased and any excess funds representing
fractional Shares shall be returned to the Investor. By payment of the Shares, the Investor acknowledges receipt of the Registration
Statement and any amendment, the terms of which govern the investment in the Shares.

 

The Underwriter and any participating broker
dealers (the “Members”) shall confirm, via the sales agency agreement, selected dealer agreement or master selected
dealer agreement, as applicable, that they will comply with Rule 15c2-4 under the Exchange Act. As per Rule 15c2-4 and Notice to
Members 84-7 issued by the Financial Industry Regulatory Authority, Inc. (collectively, the “Rule”), all checks that
are accompanied by a subscription agreement will be promptly sent along with the subscription agreements to the escrow account
by noon the next business day. In regard to monies being wired from an investor’s bank account, the Members shall request
the investors to send their wires by the business day immediately following the receipt of a completed subscription document. In
regards to monies being sent from an investors account held at the participating broker, the funds will be “promptly transmitted”
to the escrow agent following the receipt of a completed subscription document and completed wire instructions by the investor
to send funds to the escrow account. Absent unusual circumstances, funds in customer accounts will be transmitted by noon of the
next business day. In the event that the offering does not close for any reason prior to the termination date set forth in the
Registration Statement, all funds deposited in the escrow account will be returned to investors promptly in accordance with the
terms of the escrow agreement and applicable law.

 

2.       Miscellaneous.
This Subscription may be executed in any number of counterparts, all of which taken together shall constitute one and the same
instrument and shall become effective when counterparts have been signed by each party and delivered to the other parties hereto,
it being understood that all parties need not sign the same counterpart. Execution may be made by delivery by facsimile or via
electronic format. All communications hereunder, except as otherwise specifically provided herein, shall be in writing and shall
be mailed, hand delivered, sent by a recognized overnight courier service such as Federal Express, or sent via facsimile or e-mail
transmission, to the party to whom it is addressed at the following addresses or such other address as such party may advise the
other in writing (i) to the Company: as set forth on the signature page hereto and (ii) to the Investor: as set forth on the signature
page hereto. All notices hereunder shall be effective upon receipt by the party to which it is addressed.

 

[Signature Page Follows]

 

    	 	1	 

     

    

 

[Signature Page to Investor Subscription
Agreement for ATIF Holdings Limited]

 

If the foregoing correctly sets forth our agreement, please
confirm this by signing and returning to us the duplicate copy of this Subscription.

 

	Number of Shares:  __________________________________	 	ATIF Holdings Limited  	 	 	 	 
	Purchase Price per Share: $5.00      	 	 By:	 	 	 	 	 	 
	Aggregate Purchase Price: $__________________  	 	Name: _______________   	 Title:______________	 	 	 
	 	 	 	Address:	Room 3803, Dachong International Centre  	 	 	 
	 	 	 	 	39 Tonggu Road, Nanshan district,   	 	 	 
	 	 	 	 	Shenzhen, China  	 	 	 
	INVESTOR: _______________________(print name)  	 	 	 	 	 	 	 	 
	Signed By: ________________________________  	 	 	Address:	__________________________________  	 	 	 
	Name:________________ Title: _______________        	 	 	 	___________________________________  	 	 	 
	SSN or EIN:___________________  	 	 	Phone: ______________	Email: ________________	 	 	 

 

___________DWAC DELIVERY INSTRUCTIONS:

 

1. Name of DTC Participant (broker dealer at which the
account or accounts to be credited with the Shares are maintained): _______________________________

2. DTC Participant
Number: _______________________________

3.Name of Account at DTC Participant being credited with
the Shares: _______________________________

4.Account Number of DTC Participant being credited with
the Shares: _______________________________

 

___________DRS ELECTRONIC BOOK ENTRY CONFIRMATION (hold
shares at transfer agent) Delivery Instructions:

Name in which Shares should be issued: ______________________

Address for Shareholder: Street_________________________________________

City/State/Zip: ______________________________; Attention: _____________________________________

Telephone No.: _____________________________

 

WIRE PAYMENT INSTRUCTIONS:

NO WIRE TRANSFERS MAY BE MADE TO THE ESCROW ACCOUNT, DIRECTLY
OR THROUGH ANY UNDERWRITER UNLESS AND UNTIL: (A) THE REGISTRATION STATEMENT HAS BEEN DECLARED EFFECTIVE BY THE COMMISSION, AND
(B) A COPY OF THIS SUBSCRIPTION AGREEMENT, DULY EXECUTED BY THE SUBSCRIBER OR ITS AGENT, HAS BEEN DELIVERED FOLLOWING THE BELOW
INSTRUCTIONS.

 

ABA Routing No: 122242869

SWIFT Code: PMERUS66

Bank Name: Pacific Mercantile Bank

Bank Address: 949 South Coast Dr., Costa Mesa, CA 92626

Beneficiary Account Name: FinTech Clearing, as Deposit Account
Agent for the Investors in ATIF Holdings Limited 

Beneficiary Account No: 45049760

Beneficiary Address: 6 Venture, Suite 265, Irvine, CA 92618

 

 

Please email back the completed Subscription
Agreement to offerings@boustead1828.com or fax to +1(949) 266-5789

 

    	 	2	 

     

    

 

CERTIFICATE
FOR THE PURCHASE OF INITIAL PUBLIC OFFERINGS OF EQUITY SECURITIES

 

Pursuant to FINRA Rule 5130
(formerly NASD Rule 2790) (the “New Issue Rule”), firms may not sell or cause to
be sold a new issue (as defined in the New Issue Rule; generally, initial public offerings of equity securities) to any account
in which a restricted person holds a beneficial interest unless the account qualifies for a general exemption
under the New Issue Rule. We require that you sign and return this Certificate indicating whether or not your account is eligible
to purchase Shares in accordance with the New Issue Rule.

 

In addition, pursuant to FINRA
Rule 5131 (the “IPO Allocation Rule”), firms may not under certain circumstances allocate shares of a
new issue to any account in which an executive officer or director of a public company or a covered non-public company,
or a person materially supported by such executive officer or director (collectively, “Covered Persons”),
has a beneficial interest unless the account qualifies for a general exemption.

 

In addition, in connection with
any new issue, you hereby represent that you will not act as a finder or in a fiduciary capacity to any managing underwriter of
any new issue and that you shall notify us immediately in the event that such representation ceases to be true and correct.

All bolded terms relating to the New
Issue Rule or the IPO Allocation Rule are defined in Annex A.

 

SECTION A. NEW ISSUE RULE (FINRA RULE 5130) (CHECK
ONE BOX ONLY)

 

The undersigned hereby certifies, on behalf of each account
for which it purchases new issues on or after the date hereof, that:

The
account(s) is eligible to purchase new issues either because no restricted person (which includes those accounts that satisfy a
general exemption listed on Annex A and/or, are not restricted persons based on the definition in Annex A) holds a beneficial interest
in the account(s), or because the account(s) has implemented procedures to reduce the beneficial interests of all restricted persons
with respect to

new issues to below in
the aggregate 10%, and the undersigned hereby represents that it will follow such procedures in connection with the purchase by
the account(s) of all new issues; OR

The
undersigned is a conduit (such as a bank, foreign bank, broker/dealer or investment adviser) and all purchases of new issues are,
and will be, in compliance with the New Issue Rule. If the beneficial interests of all restricted persons in any one account(s)
exceeds in the aggregate 10% of the account(s) but the account(s) has implemented procedures to reduce the beneficial interest
of all restricted persons with respect to new issues to below in the aggregate 10%, the undersigned hereby represents that it will
follow such procedures in connection with the purchase by the account(s) of all new issues.

 

SECTION B. IPO ALLOCATION RULE (FINRA RULE 5131)

 

The undersigned hereby certifies, on behalf
of each account for which it purchases new issues on or after the date hereof, that: The account(s) is eligible to purchase new
issues either because:

 

		(i)	No person that holds a beneficial interest in the account(s) is a Covered Person OR

 

		(ii)	The account(s) is eligible to purchase new issues because the account(s)
(A) meets a general exemption (See Annex A), or (B) has implemented procedures to reduce the beneficial interests of all Covered
Persons of a particular company with respect to new issues to in the aggregate below 25%, and the undersigned hereby represents
that it will follow such procedures in connection with the purchase by the account(s) of all new issues.

 

For purposes of clause (ii)
above, the undersigned is entitled to presume that any beneficial interests in an account held by a Qualifying Private Fund (except
for interests of beneficial owners that are control persons of the investment adviser to that Qualifying Private Fund) are not
held by a Covered Person.

 

The undersigned hereby certifies
that the undersigned is authorized to provide this Certification and that the undersigned, or an authorized representative of the
account, will promptly notify Boustead Securities in the event this Certification ceases to be true and correct. In connection
to the U.S. Securities & Exchange Commission’s electronic delivery of information requirements, the undersigned agrees
to receive electronic mail for the purpose of recertifying this Certification through negative consent and to notify Boustead Securities
in writing if the undersigned does not agree to receive such communications.

 

	
        Institution Name

         
	
        Address, City, State, Zip

         

         

         

	Name of Authorized Signatory	
        Date (mm/dd/yy)

         
	
        Tax ID / EIN / Reg No

         

	Title of Authorized Signatory	
        Telephone

         

	Signature of Authorized Signatory	
        Email Address

         

 

SECTION C. Investor Representations.

 

		1.	Investor represents that it has received (or otherwise had access to the electronic filing on
the SEC website) the Prospectus prior to or in connection with receipt of this Agreement.

 

		2.	Investor represents that it understands and acknowledges that Investor's subscription for the
Shares indicated on the Signature Page hereto may be accepted or rejected in whole or in part by the Company, for any reason and
in its sole and absolute discretion.

 

    	 	3	 

     

    

 

ANNEX

General Exemptions:

 

		1.	An investment company registered under the Investment Company Act of 1940.

		2.	A common trust fund or similar fund as described in Section 3(a)(12)(A)(iii) of the Securities
Exchange Act of 1934, provided that: (i) the fund has investments from 1,000 or more accounts, and (ii) the fund does not limit
beneficial interests in the fund principally to trust accounts of restricted

persons.

		3.	An insurance company general, separate or investment account, provided: (i) the account is funded
by premiums from 1,000 or more policyholders or, if a general account, the insurance company has 1,000 or more policyholders, and
(ii) the insurance company does not limit the policyholders whose premiums are used to fund the account principally to restricted
persons, or if a general account, the insurance company does not limit its

policyholders principally to restricted persons.

		4.	An account, including a fund, limited partnership, joint back office broker-dealer or other entity, if the beneficial interests
of:

		a.	For purposes of Section A, restricted persons, in the aggregate, do not exceed 10% of the account
under the New Issue Rule (FINRA Rule 5130);

		b.	For purposes of Section B, covered persons of a particular company, in the aggregate, do not
exceed 25% of the account under the IPO Allocation Rule (FINRA Rule 5131).

		5.	A publicly traded entity (other than a broker-dealer authorized to engage
in the public offering of new issues either as a selling group member or underwriter, or an affiliate of such a broker-dealer)
that is: (i) listed on a U.S. national securities exchange, (ii) a non-U.S. issuer whose securities meet the quantitative designation
criteria for listing on a national securities exchange.

		6.	An investment company organized under the laws of a non-U.S. jurisdiction, provided that: (i)
the investment company is listed on a non-U.S. exchange or authorized for sale to the public by a non-U.S. regulatory authority,
and (ii) no person owning 5% or more of the shares of the investment company is a restricted person.

		7.	An ERISA benefit plan that is qualified under Section 401(a) of the Internal Revenue Code; provided
that the plan is not sponsored solely by a broker-dealer.

		8.	A state or municipal government benefits plan that is subject to state or municipal regulation.

		9.	A tax-exempt charitable organization under Section 501(c)(3) of the Internal Revenue Code.

		10.	A church plan under Section 414(e) of the Internal Revenue Code.

 

Restricted Persons/Entities under the New Issue
Rule:

 

		1.	A FINRA member firm or other broker-dealer.

		2.	An officer, director, general partner, associated person or employee of a FINRA member firm
or any other broker-dealer (other than a limited business broker-dealer).

		3.	An agent of a FINRA member firm or any other broker-dealer (other than a limited business broker-dealer)
that is engaged in the investment banking or securities business.

		4.	A person who has authority to buy or sell securities for a bank, savings and loan association,
insurance company, investment company, investment adviser (whether or not registered as an investment adviser) or collective
investment account.

		5.	A person listed, or required to be listed, on one of the following schedules to Form BD as filed,
or required to be filed, with the SEC by a broker- dealer (other than with respect to a limited broker-dealer): (i) Schedule
A, unless the person is identified by an ownership code of less than 10%; (ii)

Schedule B, unless the person’s
listing on Schedule B relates to an ownership interest in a person that is listed on Schedule A and identified by an ownership
code of less than 10%; or (iii) Schedule C, unless the person would be excluded under the percentage ownership criteria
for Schedule A or B above.

		6.	A person that directly or indirectly owns an interest, in the amounts specified below, of a
public reporting company listed, or required to be listed, on Schedule A or B of Form BD relating to a broker-dealer (other than
a limited business broker-dealer), unless the public reporting company is

listed on a national securities exchange: (i) 10%
or more of a public reporting company listed, or required to be listed, on Schedule A; or (ii) 25% or more of a public reporting
company listed, or required to be listed, on Schedule B.

		7.	A person acting: (i) as a finder in connection with any new issue in which the person is
participating or (ii) in a fiduciary capacity to the managing underwriter(s) in connection with any new issue in which the person
is participating.

		8.	An immediate family member of: (i) a person specified in items 2-7 that materially
supports, or receives support from, that person; (ii) a person specified in items 2-3 that is employed by or associated with
the FINRA member or its affiliate selling the new issue to the immediate family member, or that has an ability to control the allocation
of the new issue; or (iii) a person specified in items 5-6 that is an owner of the FINRA

member or its affiliate selling the new issue to
the immediate family member, or that has an ability to control the allocation of the new issue.

 

Other New Issue Rule and IPO Allocation Rule
Definitions:

 

Associated person or employee of a FINRA
member firm. (1) Any natural person registered with FINRA and (2) any natural person, whether or not registered or exempt
from registration with FINRA, who is a sole proprietor, partner, officer, director, or branch manager of a FINRA member firm, or
any natural person occupying a similar status or performing similar functions, or any natural person engaged in the investment
banking or securities business who is directly or indirectly controlling or controlled by a FINRA member firm (for example, any
employee).

Beneficial interest. Any economic interest,
including the right to share in gains or losses, other than management or performance based fees for operating a collective investment
account, or other fees for acting in a fiduciary capacity.

Collective investment account. Any
hedge fund, investment partnership, investment corporation, or any other collective investment vehicle that is engaged primarily
in the purchase and sale of securities, but not (1) a legal entity that is beneficially owned solely by immediate family members
or

(2) an investment club comprising a group of
friends, neighbors, business associates or others who pool their money to invest in stock or other securities and are collectively
responsible for making investment decisions.

Covered non-public company. Any
non-public company satisfying the following criteria: (i) income of at least $1 million in the last fiscal year or in two of the
last three fiscal years and shareholders' equity of at least $15 million; (ii) shareholders' equity of at least $30 million and
a two-year

operating history; or (iii) total assets and total
revenue of at least $75 million in the latest fiscal year or in two of the last three fiscal years.

Covered Person. An executive officer
or director of a public company or a covered non-public company, or a person materially supported by such executive officer or
director.

Executive officer or director. Any
(i) person named as an executive officer or director in a U.S. public company’s most recent proxy filed with the

SEC or in an annual report filed with the SEC
on Form 10-K or Form 20-F, (ii) executive officer or director of a foreign company that is registered with the SEC under the ’34
Act, as amended, or (iii) executive officer or director of a covered non-public company.

 

    	 	4	 

     

    

 

Finder. A person who receives compensation
for identifying potential investors in an offering.

FINRA Member. A member of the Financial
Industry Regulatory Authority or any person or entity associated with a FINRA member firm.

Immediate family member. A person’s
parents, mother-in-law or father-in-law, spouse, brother or sister, brother-in-law or sister-in-law, son-in-law or daughter-in-law
and children, and any other individual to whom the person provides material support.

IPO Allocation Rule. FINRA Rule 5131.

Limited business broker-dealer.
Any broker-dealer whose authorization to engage in the securities business is limited solely to the purchase and sale of investment
company/variable contracts securities and direct participation program securities.

Material support. Directly or
indirectly providing more than 25% of a person’s income in the prior calendar year. Members of the immediate family living
in the same household are deemed to be providing each other with material support.

New Issue Rule. FINRA Rule 5130.

Public Company. Any company that
is registered under Section 12 of the Securities Exchange or files period reports pursuant to Section 15(d) thereof.

Qualifying Private Fund: An unaffiliated
private fund invested in an account that:

		(1)	is managed by an investment adviser;

		(2)	has assets greater than $50 million;

		(3)	owns less than 25% of the account and is not a fund in which a single investor has a beneficial interest of 25% or more;

		(4)	was not formed for the specific purpose of investing in the account.

Unaffiliated private fund: A “private
fund”, as defined in Section 202(a)(29) of the Investment Advisers Act, whose investment adviser does not have a control
person in common with the investment adviser to the account. A control person of an investment adviser for these purposes is a
person with direct or indirect “control” over the investment adviser, as that term is defined in Form ADV.

 

    	 	5Exhibit

STOCKHOLDERS AGREEMENT
AGREEMENT, dated as of May 1, 2018 among Mark E. Jones, Robyn Jones, Michael C. Colby, Jeffrey Saunders, The Mark and Robyn Jones Descendants Trust 2014, The Lanni Elaine Romney Family Trust 2014, The Lindy Jean Langston Family Trust 2014, The Camille LaVaun Peterson Family Trust 2014, The Desiree Robyn Coleman Family Trust 2014, The Adrienne Morgan Jones Family Trust 2014, The Mark Evan Jones, Jr. Family Trust 2014, Serena Jones, Lanni Romney, Lindy Langston, Camille Peterson, Desiree Coleman, Adrienne Jones, Mark E. Jones, Jr., The Colby 2014 Family Trust, The Preston Michael Colby 2014 Trust, The Lyla Kate Colby 2014 Trust and Texas Wasatch Insurance Partners, L.P. (each, together with his, her or its permitted transferees pursuant to Section 8.02(c) of the Amended and Restated Limited Liability Company Agreement of Goosehead Financial, LLC, a “Holder,” and together, the “Holders”) and Goosehead Insurance, Inc. (“Pubco”).
WHEREAS, Pubco intends to consummate an initial public offering (the “IPO”) of its Class A Common Stock, par value $0.01 per share (“Class A Common Stock”);
WHEREAS, in connection with the IPO, Pubco will become the managing member of Goosehead Financial, LLC (the “Company”) and, pursuant to a reorganization agreement, immediately prior to the IPO, the Holders and the other holders of equity in the Company will receive new units (the “LLC Units”) in the Company, with the exception of Pubco and its wholly-owned subsidiaries, and an equivalent number of shares of Class B Common Stock, par value $0.01 per share, of Pubco (the “Class B Common Stock,” and together with the Class A Common Stock, the “Common Stock”); and
WHEREAS, the Holders desire to effect an agreement that during any period following the completion of the IPO where the Holders meet the Substantial Ownership Requirement (as defined below), approval by the Holders will be required for certain corporate actions and the Holders will have certain designation rights with respect to nominees to the Board of Directors (as defined below).
NOW, THEREFORE, the parties hereto agree as follows:
Article 1 
STOCKHOLDER RIGHTS AND RESTRICTIONS
Section 1.01    .  Approval for Certain Corporate Actions.  Until the Substantial Ownership Requirement is no longer met, Pubco shall not permit the occurrence of the following matters relating to Pubco without first receiving the approval of the Holders holding a majority of the shares of Class B Common 

Stock held by the Holders as evidenced by a written resolution or consent in lieu thereof:
(a)    any transaction or series of related transactions resulting in the merger, consolidation or sale of all, or substantially all, of the assets of the Company and its subsidiaries, or any acquisition or disposition of any asset for consideration in excess of 15% of the Total Assets (as defined below) of Pubco and its subsidiaries;
(b)    any issuance of equity securities, or any other ownership interests, of Pubco or any of its subsidiaries, other than under any equity incentive plan that has received the prior approval of the Board of Directors, for consideration exceeding $50 million;
(c)    any amendments to the certificate of incorporation or bylaws of Pubco;
(d)    entering into any material new line of business (other than natural extensions of the business of Pubco and its subsidiaries) or making any material modification to the scope of Pubco’s business;
(e)    any change in the size of the Board of Directors;
(f)    any hiring, termination, replacement, compensation, benefits or other significant decisions relating to the Chief Executive Officer, Chief Financial Officer, Chief Operating Officer, General Counsel or Controller, including entering into new employment agreements or modifying existing employment agreements, adopting or modifying any plans relating to any incentive securities or employee benefit plans or granting incentive securities or benefits to any such individuals under any existing plans; or
(g)    any agreement or commitment with respect to any of the foregoing.
Section 1.02    .  Composition of the Board. Until the Substantial Ownership Requirement is no longer met, the Holders holding a majority of the shares of Class B Common Stock held by the Holders may, by means of a written resolution or consent in lieu thereof, designate the nominees for a majority of the members of the Board of Directors, including the Chair of the Board of Directors.
Section 1.03    .  Transfers. No Holder shall sell, transfer or otherwise dispose of Class B Common Stock, except for transfers (i) pursuant to a Disposition Event (as such term is defined in the certificate of incorporation of Pubco) pursuant to Section 8.02(a) of the Amended and Restated Limited Liability Company Agreement of the Company; (ii) as approved in writing pursuant to Section 8.02(b) of the Amended and Restated Limited Liability Company Agreement of the Company or (iii) to a permitted transferee pursuant to 

2

Section 8.02(c) of the Amended and Restated Limited Liability Company Agreement of the Company.
ARTICLE 2     
REPRESENTATIONS AND WARRANTIES OF THE HOLDERS
Section 2.01    .  Corporation Authorization.  Each Holder that is not a natural person represents and warrants to each of the other Holders and Pubco that such Holder is validly organized and existing under the laws of its state of organization and has all requisite power and authority to execute and deliver this Agreement, to perform fully its obligations hereunder and to consummate the transactions contemplated hereby, and that this Agreement constitutes the valid and binding agreement of such Holder.
Section 2.02    .  Non-Contravention.  Each Holder represents and warrants to each of the other Holders and Pubco that the execution, delivery and performance by such Holder of this Agreement and the consummation of the transactions contemplated hereby do not and will not (i) if such Holder is not a natural person, contravene or conflict with, or constitute a violation of, any organizational documents of such Holder; (ii) contravene or conflict with, or constitute a violation of, any material applicable law or any material agreement or order binding on such Holder; or (iii) result in the imposition of any Lien (as defined below) on any asset of such Holder.
Section 2.03    .  Ownership of Shares of Common Stock.  Each Holder represents and warrants to each of the other Holders and Pubco that such Holder is the record and beneficial owner of all of the shares of Common Stock owned by them on the date hereof, and that the shares of Common Stock owned by them on the date hereof are owned free of any and all liens, charges, security interests, options, claims, mortgages, pledges, proxies, voting trusts or agreements, obligations, understandings or arrangements or other restrictions on title or transfer of any nature whatsoever (collectively, “Liens”) and any other limitation or restriction (including any restriction on the right to vote or otherwise dispose of the shares of Common Stock), other than transfer restrictions under applicable securities laws.  None of the shares of Common Stock is subject to any voting trust or other agreement or arrangement with respect to the voting of such shares of Common Stock.
ARTICLE 3     
REPRESENTATIONS AND WARRANTIES OF PUBCO
Pubco represents and warrants to each Holder that:
Section 3.01    .  Corporation Authorization.  Pubco has been duly incorporated and is validly existing under the laws of its state of incorporation and 

3

has all requisite corporate power and authority to execute and deliver this Agreement, to perform fully its obligations hereunder and to consummate the transactions contemplated hereby.  This Agreement constitutes the valid and binding agreement of Pubco.
Section 3.02    .  Non-Contravention.  The execution, delivery and performance by Pubco of this Agreement and the consummation of the transactions contemplated hereby do not and will not (i) contravene or conflict with, or constitute a violation of, the organizational documents of Pubco; (ii) contravene or conflict with, or constitute a violation of, any material applicable law or any material agreement or order binding on Pubco; or (iii) result in the imposition of any Lien on any asset of Pubco.
ARTICLE 4     
MISCELLANEOUS
Section 4.01    .  Other Definitional and Interpretative Provisions.  Unless specified otherwise, in this Agreement the obligations of any party consisting of more than one person are joint and several.  The words “hereof”, “herein” and “hereunder” and words of like import used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement.  The captions herein are included for convenience of reference only and shall be ignored in the construction or interpretation hereof.  References to Articles, Sections, Exhibits and Schedules are to Articles, Sections, Exhibits and Schedules of this Agreement unless otherwise specified.  All Exhibits and Schedules annexed hereto or referred to herein are hereby incorporated in and made a part of this Agreement as if set forth in full herein.  Any capitalized terms used in any Exhibit or Schedule but not otherwise defined therein, shall have the meaning as defined in this Agreement.  Any singular term in this Agreement shall be deemed to include the plural, and any plural term the singular.  Whenever the words “include”, “includes” or “including” are used in this Agreement, they shall be deemed to be followed by the words “without limitation”, whether or not they are in fact followed by those words or words of like import.  “Writing”, “written” and comparable terms refer to printing, typing and other means of reproducing words (including electronic media) in a visible form.  References to any agreement or contract are to that agreement or contract as amended, modified or supplemented from time to time in accordance with the terms hereof and thereof.  References to any Person (as defined below) include the successors and permitted assigns of that Person.  References from or through any date mean, unless otherwise specified, from and including or through and including, respectively.
Section 4.02    .  Additional Definitions.
(a)    “Board of Directors” means the Board of Directors of Pubco.

4

(b)    “Organization” means any corporation, partnership, joint venture or enterprise, limited liability company, unincorporated association, trust, estate, governmental entity or other entity or organization, and shall include the successor (by merger or otherwise) of any entity or organization.
(c)    “Person” means any natural person or Organization.
(d)    “Substantial Ownership Requirement” means the beneficial ownership (as such term is defined in Rule 13d-3 and Rule 13d-5 under the Exchange Act) by the Holders collectively, of shares of Common Stock representing at least ten percent (10%) of the issued and outstanding shares of Common Stock.
(e)    “Total Assets” of any Person means the consolidated total assets of such Person and its subsidiaries, as determined in accordance with U.S. generally accepted accounting principles, as shown on such Person’s most recent balance sheet.
Section 4.03    .  Further Assurances.  Each party to this Agreement, at any time and from time to time upon the reasonable request of another party to this Agreement, shall promptly execute and deliver, or cause to be executed and delivered, all such further instruments and take all such further actions as may be reasonably necessary or appropriate to confirm or carry out the purposes and intent of this Agreement.
Section 4.04    .  Expenses.  All costs and expenses incurred in connection with this Agreement shall be paid by the party incurring such cost or expense.
Section 4.05    .  Assignment.  The provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns; provided that no party may assign, delegate or otherwise transfer any of its rights or obligations under this Agreement without the consent of the other parties hereto, other than a transfer to (i) in the case of any Holder that is not a natural person, any Person that is an affiliate of such Holder, and (ii) in the case of any Holder that is a natural person, (A) any Person to whom Class B Common Stock are Transferred from such Holder (1) by will or the laws of descent and distribution or (2) by gift without consideration of any kind; provided that, in the case of clause (2), such transferee is the spouse, the lineal descendant, sibling, parent, heir, executor, administrator, testamentary trustee, legatee or beneficiary of such Holder, (B) a trust that is for the exclusive benefit of such Holder or its permitted transferees under (A) above or (C) any institution qualified as tax-exempt under Section 501(c)(3) of the Code.
Section 4.06    .  Governing Law.  This Agreement shall be governed by, construed and enforced in accordance with the law of the State of Delaware, without regard to the conflicts of law rules of such state.

5

Section 4.07    .  Consent to Jurisdiction.   The parties hereto agree that any suit, action or proceeding seeking to enforce any provision of, or based on any matter arising out of or in connection with, this Agreement or the transactions contemplated hereby shall be brought in the Delaware Chancery Court, and that any cause of action arising out of this Agreement shall be deemed to have arisen from a transaction of business in the State of Delaware, and each of the parties hereby irrevocably consents to the jurisdiction of such courts (and of the appropriate appellate courts therefrom) in any such suit, action or proceeding and irrevocably waives, to the fullest extent permitted by law, any objection that it may now or hereafter have to the laying of the venue of any such suit, action or proceeding in any such court or that any such suit, action or proceeding brought in any such court has been brought in an inconvenient forum.  Process in any such suit, action or proceeding may be served on any party anywhere in the world, whether within or without the jurisdiction of any such court. 
Section 4.08    .  WAIVER OF JURY TRIAL.  EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATED TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. 
Section 4.09    .  Severability.  The provisions of this Agreement shall be deemed severable and the invalidity or unenforceability of any provision shall not affect the validity or enforceability of the other provisions hereof.  If any provision of this Agreement, or the application thereof to any person or entity or any circumstance, is found to be invalid or unenforceable in any jurisdiction, (a) a suitable and equitable provision shall be substituted therefor in order to carry out, so far as may be valid and enforceable, the intent and purpose of such invalid or unenforceable provision and (a) the remainder of this Agreement and the application of such provision to other persons, entities or circumstances shall not be affected by such invalidity or unenforceability, nor shall such invalidity or unenforceability affect the validity or enforceability of such provision, or the application thereof, in any other jurisdiction.
Section 4.10    .  Counterparts.  This Agreement may be executed (including by facsimile transmission) with counterpart pages or in one or more counterparts, each of which shall be deemed an original and all of which shall, taken together, be considered one and the same agreement, it being understood that both parties need not sign the same counterpart.
Section 4.11    .  Entire Agreement.  This Agreement constitutes the entire agreement and understanding among the parties hereto and supersedes all prior and contemporaneous agreements and understanding, both oral and written, among the parties hereto with respect to the subject matter hereof

6

Section 4.12    .  Amendments; Waiver  Any provision of this Agreement may be amended or waived if, but only if, such amendment or waiver is in writing and is signed, in the case of an amendment, by each party to this Agreement or in the case of a waiver, by the party against whom the waiver is to be effective.
Section 4.13    .  Specific Performance.  The parties hereto agree that irreparable damage would occur in the event any provision of this Agreement is not performed in accordance with the terms hereof and that the parties shall be entitled to specific performance of the terms hereof in addition to any other remedy to which they are entitled at law or in equity.
Section 4.14    .  IPO Closing; Termination.  This Agreement will automatically terminate and be of no force and effect if the closing of the IPO does not occur on or before May 1, 2018. This agreement will automatically terminate and be of no force and effect when the Substantial Ownership Requirement is no longer met.

7

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the day and year first above written.

	
			
	GOOSEHEAD INSURANCE, INC.

	By:
	/s/ P. Ryan Langston

	 
	Name:
	P. Ryan Langston

	 
	Title:
	Authorized Officer

	
		
	MARK E. JONES

	By:
	/s/ Mark E. Jones

	
		
	ROBYN JONES

	By:
	/s/ Robyn Jones

	
		
	MICHAEL C. COLBY

	By:
	/s/ Michael C. Colby

	
		
	JEFFREY SAUNDERS

	By:
	/s/ Jeffrey Saunders

[Signature Page to the Stockholders Agreement]

	
			
	THE MARK AND ROBYN JONES DESCENDANTS TRUST 2014

	By:
	/s/ Mark E. Jones

	 
	Name:
	Mark E. Jones

	 
	Title:
	Trustee

	
			
	LANNI ELAINE ROMNEY FAMILY TRUST 2014

	By:
	/s/ Mark E. Jones

	 
	Name:
	Mark E. Jones

	 
	Title:
	Trustee

	
			
	LINDY JEAN LANGSTON FAMILY TRUST 2014

	By:
	/s/ Mark E. Jones

	 
	Name:
	Mark E. Jones

	 
	Title:
	Trustee

	
			
	CAMILLE LAVAUN PETERSON FAMILY TRUST 2014

	By:
	/s/ Mark E. Jones

	 
	Name:
	Mark E. Jones

	 
	Title:
	Trustee

	
			
	DESIREE ROBYN COLEMAN FAMILY TRUST 2014

	By:
	/s/ Mark E. Jones

	 
	Name:
	Mark E. Jones

	 
	Title:
	Trustee

[Signature Page to the Stockholders Agreement]

	
			
	ADRIENNE MORGAN JONES FAMILY TRUST 2014

	By:
	/s/ Mark E. Jones

	 
	Name:
	Mark E. Jones

	 
	Title:
	Trustee

	
			
	MARK EVAN JONES, JR. FAMILY TRUST 2014

	By:
	/s/ Mark E. Jones

	 
	Name:
	Mark E. Jones

	 
	Title:
	Trustee

	
		
	SERENA JONES

	By:
	/s/ Serena Jones

	
		
	LANNI ROMNEY

	By:
	/s/ Lanny Romney

	
		
	LINDY LANGSTON

	By:
	/s/ Lindy Langston

	
		
	CAMILLE PETERSON

	By:
	/s/ Camille Peterson

[Signature Page to the Stockholders Agreement]

	
		
	DESIREE COLEMAN

	By:
	/s/ Desiree Coleman

	
		
	ADRIENNE JONES

	By:
	/s/ Adrienne Jones

	
		
	MARK E. JONES, JR.

	By:
	/s/ Mark E. Jones, JR.

	
			
	COLBY 2014 FAMILY TRUST

	By:
	/s/ Michael C. Colby

	 
	Name:
	Michael C. Colby

	 
	Title:
	Trustee

	
			
	PRESTON MICHAEL COLBY 2014 TRUST

	By:
	/s/ Michael C. Colby

	 
	Name:
	Michael C. Colby

	 
	Title:
	Trustee

[Signature Page to the Stockholders Agreement]

	
			
	LYLA KATE COLBY 2014 TRUST

	By:
	/s/ Michael C. Colby

	 
	Name:
	Michael C. Colby

	 
	Title:
	Trustee

	
			
	TEXAS WASATCH INSURANCE PARTNERS, L.P.
By Texas Wasatch Insurance Holdings Group, LLC, its General Partner

	By:
	/s/ Mark E. Jones

	 
	Name:
	Mark E. Jones

	 
	Title:
	Authorized Signatory, Texas Wasatch Insurance Holding Group, LLC

[Signature Page to the Stockholders Agreement]

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