Template (PPM) and Subscription Agreement
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Template Private Placement Memorandum (PPM) and Subscription Agreement Private Placement Memorandum The majority of the Private placement memorandum is a template. In other words, standard language. There is very little you need to do change in the template. Copy your business plan into the appropriate point of the private placement memorandum and then make some minor modifications. The template that I offer on the website also includes a completed sample PPM that you can use as an example. Information that you will need to decide company name, any acronym for the company, number of units or shares being offered, price per unit, maximum offering amount, name of member manager, identify state where you will be raising money, e-mail address of member manager As previously mentioned, the PPM includes the information contained in the business plan. It is also the document that conforms to and meets the terms required by federal and state securities law. That require you to provide potential investors all material information about the investment. Larger companies will typically pay an attorney $15,000-$25,000 to prepare the offering memorandum. However, if you are unable to afford to pay the lawyer, you can obtain the templates for an offering memorandum and cut and paste your business plan into it. On our website you will find a template you can purchase. The PPM template consists of about 20 pages of boiler plate language not including whatever additional pages are added from the business plan.
Information that you will need to place into the subscription agreement is very similar to the information required for the private placement memorandum. company name, any acronym for the company, number of units or shares being offered, price per unit, maximum offering amount, name of member manager, identified as state where you will be raising money, e-mail address of member manager We provide a 20 page Private Placement Memorandum template. Any information you need to add to the document is marked in red with easy to understand instructions. We also provide a sample – 46 page completed PPM as an example. Subscription Agreement The language contained within the subscription agreement is also boilerplate language. That means that except for customizing your information there is very little that needs to be done to the agreement. It is this document that the investor signs and returns to you with their check. The agreement that we offer on our website is included with the private placement memorandum and no additional cost. We also have structured the verbiage a representation from the investor that they are accredited investors. As explained in the compliance with federal and state laws seminar it adds substantial compliance responsibility taking investor money from non-accredited investors. The purpose of the subscription agreement is to act as an acknowledgment by the investor of receipt by them of the private placement memorandum and that they meet the standards to be accredited investors. We provide a 9 page Subscription Agreement template that has all the information you need to add to the document marked in red. We also provide a sample completed Subscription Agreement as an example. The documents may be downloaded in either MS Word or Adobe PDF format. No Charge -- Initial Consultation
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