Innovation and the legal system: the importance of the angel investor participation contract for the protection of the rights of the investor and the entrepreneur

Abstract

In the same following of the inovations that mold the contemporary world, is evident that the business sector is passing for significant transformations. In this cenary, the figure of the angel investor stands out, an individual or legal entity that plays a crucial role in supporting and financing startups and innovative projects. Known as an “angel”, this investor provides capital to early-stage companies with high growth prospects. The relationship between the angel investor and the investee company establishes a legal contract known as a participation contract. He is responsible for determining the terms and conditions, as well as the rights and obligations of both parts. The aim is to analyze the most used clauses in the angel investment contract and conclude the importance of these terms to guarantee the protection of investor and entrepreneur rights. Thus, as a methodology, there is the analysis of Lei Complementar n.155/2016, created through the amendment of Lei do Simples Nacional, combined with a bibliographical analysis on the subject.