Document background
The Placement Agent Engagement Letter is a crucial document used when appointing a financial intermediary to assist in raising capital through private placements. Under English and Welsh law, this document establishes the terms under which the placement agent will identify and approach potential investors, defines the scope of authorized activities, and ensures compliance with UK financial services regulations. The letter typically includes detailed fee structures, exclusivity provisions, and specific compliance requirements under the FCA framework. It's particularly important in ensuring clarity of roles and responsibilities while maintaining regulatory compliance in capital raising activities.
