Document background
The Friends And Family Investment Agreement is designed for situations where individuals seek to invest in businesses owned by their family members or friends in Belgium. This document becomes necessary when informal personal relationships transition into business relationships, requiring clear documentation of investment terms while maintaining familial or friendly dynamics. It covers essential elements such as investment amount, ownership rights, return mechanisms, and investor protections, all compliant with Belgian federal law and EU regulations where applicable. The agreement is particularly important for startups and small businesses seeking initial capital from close connections, providing a legal framework that protects all parties while acknowledging the unique nature of friends and family investments. It includes specific provisions for information sharing, exit strategies, and dispute resolution methods that consider the personal relationships involved.
