“This initiative complements national efforts to promote the growth and vitality of Singapore`s venture capital ecosystem. and we also expect VIMA to play a key role in the adoption of Singapore`s legislation on start-up financial transactions, since the model agreements all provide, by default, that they are subject to Singapore law and that all disputes arising therefrom will be settled in Singapore. ” – The Honourable Supreme Judge Sundaresh Menon at the introduction of VIMA in October 2018 Vima`s shareholders` agreement does not contain a VIMA shareholders` agreement. Equivalent clause including the BPEVCA subscription model and the shareholders` agreement. Investors may consider including a similar clause in their shareholders` agreement. Investors could have invested in the company because the founder creates a “discovery, invention, secret process or improvement.” Such inventions should be in the company, as they could be valuable to the start-up. The BPEVCA Subscription and Shareholder` Agreement model also contains a clause stipulating that, if he ceases to be a shareholder or consultant, the founder must transfer the patent to the company. Investors could consider including a similar clause in their shareholders` agreement, as these patents would most likely be an advantage to the company.  National Venture Capital Association, “Model Legal Documents” (called April 8, 2019). This type of confidentiality agreement is based on the premise that an entity provides a potential investor with confidential information about itself. It should be noted that it is not uncommon for VCs to refuse to enter into confidentiality agreements.
The Singapore Academy of Law and the Singapore Venture Capital & Private Equity Association launched the Venture Capital Investment Model Agreements (VIMA) in October 2018. VIMA offers a number of model agreements for use in rounds and start-up financing, which serve to reduce transaction costs and reduce friction during the negotiation process. The VIMA suite of documents is available for free download on www.singaporelawwatch.sg and includes: Q. Do these model contracts mean that venture capital firms and start-ups can now enter into financing contracts without the need for a lawyer? Since its inception, the NVCA Model Document Project has been a huge success and its model documents have reduced the costs and cycle times associated with risk financing. After the success of NVCA, standardised documents for venture capital investments were developed in other countries, including the UK under the auspices of the British Private Equity and Venture Capital Association and closer to home by the Australian Investment Council. . . .