Investment agreements are a piece of written document which is made between an individual, or a group, who are investing some amount of money either in the share of a company or in some financial institutions. In both cases, the agreement should clearly mention the exact amount of money invested, the mode of investment- one time or installment, the period after which the investor will get the benefit, the exact terms of the benefit and other essential details.
While constructing an investment agreement, the below listed points should be kept in mind-
- The agreement should clearly depict all the necessary and minute details related to the investment. There should be no space for assumptions or ambiguity from either end.
- As investment agreements generally serve as a legal document in case of any discrepancies, clear mention of the legal actions to be taken must be mentioned.
- The language of the agreement should be lucid and simple enough to be understandable easily. Convoluted sentences and jargons should be avoided as much as possible.
Investment agreements differ in the presentation based on the type of investment in question. Nonetheless, while constructing any sort of investment agreement, the above mentioned points should be followed.
Category: Investment Agreements