Nassau New York Angel Fund Promissory Note Term Sheet

• Category: Small Business - Investment or Funding
• State: Multi-State
• County: Nassau
• Control #: US-ENTREP-004-2
• Format: Word; Rich Text

Description

"An angel investor or angel (also known as a business angel or informal investor) is an affluent individual who provides capital for a business start-up, usually in exchange for convertible debt or ownership equity. New start-up companies often turn to the private equity market for seed money because the formal equity market is reluctant to fund risky undertakings. In addition to their willingness to invest in a start-up, angel investors may bring other assets to the partnership. They are often a source of encouragement; they may be mentors in how best to guide a new business through the start-up phase and they are often willing to do this while staying out of the day-to-day management of the business.
Term sheet is a non-binding agreement setting forth the basic terms and conditions under which an investment will be made."

The Nassau New York Angel Fund Promissory Note Term Sheet is a legal document that outlines the terms and conditions associated with an investment made by the Nassau New York Angel Fund. This term sheet serves as a preliminary agreement between the fund and the recipient of the investment, establishing a framework for the investment process. The term sheet includes various key sections that are crucial for both parties involved. Firstly, it provides details about the amount of investment being made by the Angel Fund, along with the interest rate and repayment terms. It also specifies the maturity date, which signifies the duration within which the loan must be repaid. Additionally, the Nassau New York Angel Fund Promissory Note Term Sheet may include provisions regarding any collateral or security that the recipient is required to provide, ensuring the fund's protection in case of default or non-payment. It may also address any rights or warrants that the Angel Fund may acquire as part of the investment. Different types of Nassau New York Angel Fund Promissory Note Term Sheets can exist depending on the specific requirements of different investments. For example, there may be term sheets tailored for start-ups, real estate ventures, or technology companies. Each term sheet will include provisions that are relevant to the respective industry or investment type. In conclusion, the Nassau New York Angel Fund Promissory Note Term Sheet is a vital document that outlines the terms and conditions of an investment made by the Nassau New York Angel Fund. It serves as a basis for the investment agreement, encompassing crucial aspects like the loan amount, interest rate, maturity date, collateral requirements, and any additional provisions based on the nature of the investment.