What documents required to seek funding from investors?

what are the documents required for seed funding and angle investors.

Answers (3)

297 votes

Non-Disclosure Agreement, Term Sheet, Share subscription agreement, shareholder agreement, amendment in AOA. These are the most basic documents you would require. Term sheet is mostly provided by seed funds or angel investor but you need to vet them with caution so that you are not left vulnerable. Other documents like ESOP pool, founders agreement etc. can also be made but these are not compulsory.

Googling your legal issue online?

The internet is not a lawyer and neither are you.
Talk to a real lawyer about your legal issue.

207 votes

Typically a Term Sheet is executed followed by which the investor conducts a legal and financial due diligence. Once this is satisfactory, a shareholders agreement and a share subscription agreement is executed followed by closing the deal, i.e. allotting shares to the investors.

Popular Startup Lawyers

Advocate Rajeev Nigam
Kanpur Nagar, Kanpur
27 years Experience
Advocate Bala Janaki
330 Thambuchetty Street, Chennai
36 years Experience
Advocate Ravi Jadhav
Koregaon Park, Pune
13 years Experience
Advocate Prerna Oberoi
Sector 41, Noida
9 years Experience
232 votes

Its a vast area and depends upon the investors. Mostly investors seek to see your financial statements, etc. along with your business model and revenue generation scheme, estimates and time periods.
Apart from that, investors may also like to see your Founders & Shareholding Agreement, ESOPs, Partnership agreements or any other specific binding agreements etc.

Report abuse?

Disclaimer: The above query and its response is NOT a legal opinion in any way whatsoever as this is based on the information shared by the person posting the query at LawRato.com and has been responded by one of the Startup Lawyers at LawRato.com to address the specific facts and details. You may post your specific query based on your facts and details to get a response from one of the Lawyers at LawRato.com or contact a Lawyer of your choice to address your query in detail.

Related Questions

"LawRato.com has handpicked some of the best Legal Experts in the country to help you get practical Legal Advice & help."

Related Articles