Document background
The Silent Partner Agreement is essential when businesses seek capital investment without surrendering management control. This document, governed by Singapore law, establishes a framework for passive investment while protecting both the silent partner's limited liability and the active partners' operational autonomy. The agreement covers crucial aspects including capital contribution, profit sharing, confidentiality, and exit provisions. It's particularly relevant in Singapore's dynamic business environment where private investment in SMEs is common, and the legal framework provides robust protection for such arrangements.
