The Investors Agreement is a type of agreement that serves to govern the relationships between the founding shareholders who have created or to create a company, or startup, and the investor (or business angel) who shall finance their growth. The purpose is twofold: for entrepreneurs to ensure that the investor shall meet his/her financial undertakings; and for the investor, to protect his/her investment without jeopardising the development of the project or the proper founding shareholders.
This Agreement includes clauses as regards investment and capital increase of the company, responsibility and functions of the management team, decision making, exclusivity undertakings, non-competition, confidentiality and permanence of the founding shareholders in the company, as well as the right of periodic information that the investor has and its representation on the Board of Directors of the company. The Business Plan that the shareholders submit to the investor is included in an Annex.
Index of the contract