Venture Partner Agreement for Qatar

Venture Partner Agreement Template for Qatar

This document establishes the legal framework for a venture partner relationship within the jurisdiction of Qatar, governed by Qatari law and compliant with Qatar Financial Centre regulations where applicable. It outlines the terms of engagement between venture partners and investment firms, including compensation structures, duties, investment criteria, and governance rights. The agreement incorporates specific provisions required under Qatari commercial law and considers Islamic finance principles where relevant, while addressing key aspects such as foreign investment restrictions, local partnership requirements, and regulatory compliance obligations specific to the Qatari investment landscape.

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What is a Venture Partner Agreement?

The Venture Partner Agreement serves as the primary legal document governing the relationship between venture capital firms or investment companies and their venture partners in Qatar. This agreement is essential when establishing formal partnerships for investment activities within the Qatari market, whether through the Qatar Financial Centre or mainland Qatar. It details the venture partner's role in deal sourcing, due diligence, portfolio company management, and investment decisions, while ensuring compliance with Qatar's foreign investment laws and commercial regulations. The document is particularly important given Qatar's unique legal framework, which combines civil law principles with Islamic law considerations, and includes specific provisions for local ownership requirements, investment restrictions, and regulatory approvals. The agreement typically addresses compensation structures, including management fees and carried interest, governance rights, confidentiality obligations, and non-compete provisions, all while adhering to Qatari legal requirements.

What sections should be included in a Venture Partner Agreement?

1. Parties: Identification of the contracting parties, including full legal names, addresses, and registration details

2. Background: Context of the agreement, relationship between parties, and purpose of the venture partnership

3. Definitions: Key terms used throughout the agreement defined for clarity and consistency

4. Appointment and Scope: Formal appointment of the venture partner and detailed scope of their role and services

5. Term and Termination: Duration of the agreement, renewal provisions, and circumstances for termination

6. Duties and Responsibilities: Detailed obligations of the venture partner, including deal sourcing, due diligence, and portfolio management

7. Compensation Structure: Details of management fees, carried interest, and other financial arrangements

8. Investment Process: Procedures for identifying, evaluating, and executing investment opportunities

9. Governance Rights: Decision-making processes, voting rights, and management participation

10. Confidentiality: Protection of confidential information and trade secrets

11. Non-Competition and Non-Solicitation: Restrictions on competitive activities and solicitation of employees/clients

12. Representations and Warranties: Standard declarations about capacity, authority, and compliance

13. Indemnification: Mutual indemnification provisions and liability limitations

14. General Provisions: Standard clauses including notices, amendments, governing law, and dispute resolution

What sections are optional to include in a Venture Partner Agreement?

1. Islamic Finance Compliance: Required when the venture partnership needs to comply with Shariah principles

2. Co-Investment Rights: Include when venture partners have rights to co-invest in deals

3. Key Person Provisions: Include when specific individuals are crucial to the partnership

4. Special Purpose Vehicle (SPV) Structure: Include when investments will be made through SPVs

5. Related Party Transactions: Include when there are existing relationships between parties that need governance

6. Foreign Investment Provisions: Required when non-Qatari partners are involved

7. Exit Rights: Include when specific exit mechanisms need to be pre-agreed

8. Performance Metrics: Include when compensation is tied to specific performance targets

What schedules should be included in a Venture Partner Agreement?

1. Schedule 1: Investment Criteria: Detailed investment parameters, target sectors, and geographic focus

2. Schedule 2: Fee Structure: Detailed breakdown of all fees, carried interest calculations, and payment terms

3. Schedule 3: Reserved Matters: List of decisions requiring special approval or consensus

4. Schedule 4: Reporting Requirements: Format and frequency of required reports and updates

5. Schedule 5: Key Personnel: List of key team members and their roles/commitments

6. Schedule 6: Compliance Requirements: Specific regulatory and compliance obligations

7. Appendix A: Power of Attorney: If required, specific powers granted to the venture partner

8. Appendix B: Declaration of Beneficial Ownership: Required disclosure of ultimate beneficial owners as per Qatari law

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

Jurisdiction

Qatar

Publisher

Genie AI

Cost

Free to use
Relevant legal definitions
Clauses
Relevant Industries

Technology

Financial Services

Healthcare

Education

Real Estate

Energy

Infrastructure

Sports and Entertainment

Manufacturing

E-commerce

Fintech

Sustainability and Clean Tech

Digital Media

Telecommunications

Healthcare Technology

Relevant Teams

Legal

Compliance

Investment

Portfolio Management

Finance

Risk Management

Corporate Development

Operations

Executive Leadership

Business Development

Relevant Roles

Managing Partner

Investment Director

Venture Partner

Chief Investment Officer

Legal Counsel

Compliance Officer

Investment Manager

Portfolio Manager

Managing Director

Chief Executive Officer

Chief Financial Officer

Investment Associate

Fund Manager

General Counsel

Partnership Director

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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