Equity Agreement
Definitions
- (n.) A legally binding contract establishing terms under which one party invests in or acquires equity in a company from another party.
The investors signed an equity agreement specifying their shareholding percentage and rights.
Forms
- equity agreement
- equity agreements
Related terms
See also
Commentary
Commonly used in venture capital and private equity transactions; precise drafting of rights and obligations is crucial to avoid future disputes.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.