Investment Repayment Agreement Template for Indonesia

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Key Requirements PROMPT example:

Investment Repayment Agreement

"I need an Investment Repayment Agreement for a USD 2 million venture capital investment into an Indonesian tech startup, with quarterly repayments starting March 2025 and including standard security provisions for intellectual property."

Document background
The Investment Repayment Agreement is a crucial document used in Indonesian business transactions where one party has provided funding to another with the expectation of repayment under specific terms. This document is essential in various investment scenarios, from venture capital investments to private equity funding, and must comply with Indonesian investment laws and regulations, including Law No. 25 of 2007 on Investment and relevant OJK regulations. The agreement typically includes detailed provisions on repayment schedules, interest calculations, security arrangements, events of default, and remedies available under Indonesian law. It's particularly important in cross-border investments where foreign investors need clear legal protection and certainty regarding their investment recovery mechanisms within the Indonesian legal framework.
Suggested Sections

1. Parties: Identifies and defines the parties to the agreement, including their legal status and registered addresses

2. Background: Recitals explaining the context of the investment and the purpose of the agreement

3. Definitions and Interpretation: Defines key terms used throughout the agreement and establishes interpretation rules

4. Investment Amount and Purpose: Specifies the investment amount, currency, and intended use of funds

5. Repayment Terms: Details the repayment schedule, interest rates, and payment mechanisms

6. Security and Collateral: Describes any security or collateral provided to secure the repayment obligation

7. Representations and Warranties: States the legal promises and factual assertions made by each party

8. Covenants: Lists ongoing obligations of the parties during the term of the agreement

9. Events of Default: Defines circumstances constituting default and consequences thereof

10. Remedies: Outlines available remedies in case of breach or default

11. Term and Termination: Specifies the duration of the agreement and circumstances for early termination

12. Notices: Sets out how formal communications between parties should be made

13. Governing Law and Jurisdiction: Specifies Indonesian law as governing law and defines jurisdiction for disputes

14. Miscellaneous: Contains standard boilerplate provisions including amendments, waivers, and severability

15. Execution: Signature blocks and execution formalities

Optional Sections

1. Currency Exchange Provisions: Required when investment or repayment involves foreign currency transactions

2. Tax Provisions: Detailed tax arrangements when specific tax treatments or withholding requirements apply

3. Regulatory Compliance: Additional compliance requirements when investment involves regulated sectors or activities

4. Information Rights: Investor's rights to receive financial and operational information, used in larger investments

5. Assignment and Transfer: Rules for transferring rights under the agreement, important for transferable investments

6. Force Majeure: Provisions for unforeseen circumstances affecting repayment ability

7. Confidentiality: Required when parties need to protect sensitive business information

8. Subordination: Needed when the investment ranks behind other creditors

Suggested Schedules

1. Schedule 1 - Investment Details: Detailed breakdown of investment amount, purpose, and disbursement schedule

2. Schedule 2 - Repayment Schedule: Detailed payment dates, amounts, and calculation methodologies

3. Schedule 3 - Security Details: Comprehensive description of any security or collateral provided

4. Schedule 4 - Conditions Precedent: List of conditions to be satisfied before investment disbursement

5. Schedule 5 - Form of Notices: Standard forms for key notices under the agreement

6. Appendix A - Corporate Authorizations: Copies of relevant corporate approvals and authorizations

7. Appendix B - Security Documents: Forms of security documents if applicable

8. Appendix C - Compliance Certificates: Template certificates for ongoing compliance reporting

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Relevant Industries

Financial Services

Technology

Real Estate

Manufacturing

Agriculture

Mining

Infrastructure

Renewable Energy

E-commerce

Healthcare

Education

Hospitality

Retail

Transportation

Telecommunications

Relevant Teams

Legal

Finance

Treasury

Compliance

Risk Management

Corporate Secretariat

Investment

Business Development

Executive Leadership

Mergers and Acquisitions

Private Equity

Venture Capital

Relevant Roles

Chief Financial Officer

Finance Director

Investment Manager

Legal Counsel

Corporate Lawyer

Compliance Officer

Investment Analyst

Treasury Manager

Risk Manager

Company Secretary

Managing Director

Investment Director

Business Development Manager

Financial Controller

Partner (Law Firm)

Investment Banker

Private Equity Manager

Venture Capital Manager

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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