Investment Commitment Agreement Template for Singapore

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Key Requirements PROMPT example:

Investment Commitment Agreement

"I need an Investment Commitment Agreement for a Series A investment of SGD 5 million into a Singapore-based fintech startup, with the investment to be made in three tranches starting March 2025, including standard anti-dilution and information rights."

Document background
The Investment Commitment Agreement is a crucial document in Singapore's investment landscape, used when investors are ready to formalize their commitment to funding but require certain conditions to be met before the actual investment takes place. This agreement typically includes detailed terms about investment amount, timing, conditions precedent, and investor rights, while ensuring compliance with Singapore's regulatory framework. It serves as a bridge between initial investment discussions and the final investment documentation, providing certainty to all parties while maintaining flexibility through clearly defined conditions.
Suggested Sections

1. Parties: Identifies and defines all parties to the agreement

2. Background: Sets out the context and purpose of the investment commitment

3. Definitions: Defines key terms used throughout the agreement

4. Investment Amount: Specifies the committed investment amount and payment terms

5. Investment Terms: Details the conditions and structure of the investment

6. Representations and Warranties: Statements of fact and assurances from both parties

7. Conditions Precedent: Conditions that must be satisfied before investment completion

8. Completion: Process and requirements for completing the investment

9. Termination: Circumstances and process for terminating the agreement

10. Confidentiality: Obligations regarding confidential information

11. Governing Law and Jurisdiction: Specifies Singapore law as governing law and jurisdiction for disputes

Optional Sections

1. Anti-dilution Rights: Protects investor's ownership percentage in case of future share issuances

2. Tag-Along Rights: Gives investor right to join in sale of shares by other shareholders

3. Board Representation: Details investor's rights to board appointment and observer rights

4. Information Rights: Specifies investor's rights to receive company information and reports

5. Pre-emptive Rights: Rights to participate in future funding rounds

Suggested Schedules

1. Investment Schedule: Detailed breakdown of investment tranches and timing

2. Conditions Precedent Checklist: List of all conditions to be satisfied before completion

3. Form of Shareholders Agreement: Draft of shareholders agreement to be executed upon completion

4. Corporate Information: Company details, shareholding structure, and corporate documents

5. Financial Statements: Recent financial statements and projections of the company

6. Compliance Checklist: List of regulatory requirements and compliance matters

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Industries

Securities and Futures Act (SFA): Primary legislation governing securities, futures, and financial activities in Singapore, including investment products and services

Companies Act: Core legislation governing corporate entities, their formation, operation, and dissolution in Singapore

Contract Law (Amendment) Act: Legislation governing the formation and enforcement of contracts in Singapore

Electronic Transactions Act: Law governing electronic transactions and digital signatures in Singapore

Personal Data Protection Act (PDPA): Legislation governing the collection, use, and disclosure of personal data

MAS Guidelines: Regulatory guidelines issued by the Monetary Authority of Singapore for financial and investment activities

Securities and Futures Regulations: Detailed regulations supplementing the Securities and Futures Act

Business Trusts Act: Legislation governing the establishment and operation of business trusts in Singapore

Limited Partnerships Act: Law governing the formation and operation of limited partnerships

AML/CFT Regulations: Anti-Money Laundering and Countering the Financing of Terrorism regulations for preventing financial crimes

MAS Notice 626: Specific notice on Prevention of Money Laundering and Countering the Financing of Terrorism requirements

Common Law Principles: Established case law and legal principles from Singapore's common law system

Unfair Contract Terms Act: Legislation protecting against unfair terms in contracts

Exchange Control Regulations: Regulations governing foreign exchange transactions and international fund transfers

Foreign Investment Restrictions: Regulations controlling foreign investment in specific sectors or industries

International Tax Treaties: Bilateral and multilateral tax agreements between Singapore and other countries

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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