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Advanced Subscription Agreement
"I need an Advanced Subscription Agreement for a pre-seed investment of £250,000 into my fintech startup, with a 20% discount on the next funding round and a £5m valuation cap, expected to complete by March 2025."
1. Parties: Identifies the company and investor(s) entering into the agreement
2. Background: Context of the investment and purpose of the agreement
3. Definitions: Key terms used throughout the agreement
4. Subscription: Details of the investment amount and share allocation
5. Conditions Precedent: Conditions that must be met before completion
6. Completion: Mechanics and timing of the investment completion
7. Warranties: Company representations and warranties
8. Governing Law and Jurisdiction: Specifies applicable law and courts
1. Pre-emption Rights: Rights of first refusal on future share issues - include when investors require protection against dilution
2. Tag Along Rights: Right to join in sale of shares by other shareholders - include for minority investor protection
3. Information Rights: Rights to receive company information - include when investors require ongoing reporting
4. Board Appointment Rights: Right to appoint directors - include for larger investments or strategic investors
1. Schedule 1 - Company Details: Corporate information and capital structure
2. Schedule 2 - Warranties: Detailed company warranties
3. Schedule 3 - Conditions Precedent: Detailed list of conditions to be satisfied
4. Schedule 4 - Completion Requirements: Documents and actions required at completion
5. Appendix 1 - Share Capital Table: Pre and post-investment capital structure
6. Appendix 2 - Investment Terms: Detailed terms of the investment
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