Investment Agreement (Simple)
A simple investment agreement is a contract documenting a straightforward cash investment made into a company in exchange for equity or another defined interest, including basic representations by the investor and the company. Use this for a simple, smaller, or early-stage investment where an investor is putting cash into a company in exchange for equity or another defined interest, and a full stock purchase agreement would be more than the transaction needs. This is a starting draft only, not tax or securities-law advice — issuing equity in exchange for investment triggers securities-law requirements that vary by jurisdiction and investor type, so have a lawyer and accountant review the final terms before any money changes hands.
What's included
A ready-to-use investment agreement (simple) with signature fields already placed for Company and Investor. Fill in the bracketed details (like [Company Name] or [Date]) using Docracy's built-in text editor, then send it out for signature.
This is a general template for informational purposes only and does not constitute legal advice. Consult a qualified attorney to review it for your specific situation and jurisdiction before use.
Key clauses
- Investment amount and form of consideration, such as equity or interest granted
- Investor representations, such as accredited status and investment intent
- Company representations and warranties
- Closing conditions and delivery of securities
- Use of investment proceeds
- Governing terms and transfer restrictions
What you'll fill in
[Investor Name][Company Name][Investment Amount][Type/Class of Equity or Interest Granted][Number/Percentage of Shares or Units][Closing Date][Use of Proceeds]Legal summary
Signing a simple investment agreement legally documents the investor's cash contribution and the company's obligation to issue the agreed equity or defined interest in exchange, along with the representations each party is making about the transaction. It is intended for smaller or early-stage investments where a full stock purchase agreement and its extensive disclosures are not necessary. Because issuing equity in exchange for investment triggers securities-law requirements that vary by jurisdiction and investor type, the final terms should be reviewed by a lawyer and accountant before any money changes hands.
Free for up to 2 signers, no account required. Need unlimited? Flat $10/month.
FAQ
Is this Investment Agreement (Simple) legally binding?
Signing through Docracy uses a simple electronic signature (SES), which is legally recognized for everyday business agreements under laws like the U.S. ESIGN Act and the EU's eIDAS regulation. This is a general template, not legal advice — for high-stakes or regulated agreements, have a qualified attorney review it for your situation.
Who needs to sign this Investment Agreement (Simple)?
This template includes signature fields for Company and Investor — already placed, so you just fill in the details and send.
Can I edit this Investment Agreement (Simple) before sending it?
Yes — Docracy's editor lets you edit the text, add or remove signature fields, redact sections, and reorder pages before you send it.
Do I need an account to send this Investment Agreement (Simple)?
No — it's free for up to 2 signers with no account required. Create a free account only if you want to save it to a dashboard or reuse it later.
Try it with an AI assistant
Paste one of these into ChatGPT, Claude, or your assistant of choice:
“Explain what a simple investment agreement covers compared to a full stock purchase agreement.”
“What investor representations are typically included in a small, early-stage investment agreement?”
“Generate a filled simple investment agreement using this template for a small cash investment into a startup.”
Why teams start with Docracy
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Free for up to 2 signers, no account required. Need unlimited? Flat $10/month.