Document background
The Silent Partner Agreement is a crucial document used in Belgian business arrangements where an investor wishes to participate financially in a business venture without taking an active management role or public position. This type of agreement is particularly relevant under Belgian law, where it's known as "Stille Vennootschap" in Dutch or "Société Interne" in French. The document is essential when structuring private investment arrangements, especially in cases where the investor wants to maintain confidentiality while providing capital to an existing or new business. The agreement covers critical aspects such as initial investment, profit-sharing mechanisms, reporting obligations, and exit strategies, all while ensuring compliance with Belgian regulatory requirements, including the Code of Companies and Associations. It's particularly useful for businesses seeking private capital without wanting to alter their public management structure or for investors looking to make passive investments with defined returns.
