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Private Equity Finder's Fee Agreement Template for England and Wales

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Key Requirements PROMPT example:

Private Equity Finder's Fee Agreement

"I need a Private Equity Finder's Fee Agreement for my UK-based PE firm that includes a 2% success fee structure and exclusive rights for the finder to source healthcare sector deals in Northern England, starting from March 2025."

Document background
The Private Equity Finder's Fee Agreement is essential for structuring relationships between private equity firms and individuals or entities who source investment opportunities. Under English and Welsh law, this agreement defines the parameters of the introduction service, including success-based fees, regulatory compliance requirements, and protective provisions. It is particularly important given the regulated nature of financial services in the UK and the need to clearly document the scope of services, especially where substantial fees may be contingent on successful transactions.
Suggested Sections

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

2. Background/Recitals: Context of the agreement and relationship between parties

3. Definitions: Key terms used throughout the agreement

4. Scope of Services: Detailed description of finder's services and obligations

5. Fee Structure: Details of fees, calculation methods, and payment terms

6. Term and Termination: Duration of agreement and termination provisions

7. Confidentiality: Protection of confidential information

8. Regulatory Compliance: FCA and other regulatory requirements

9. Governing Law: Specification of English and Welsh law

Optional Sections

1. Non-Circumvention: Prevents direct dealings between introduced parties - use when finder wants protection against being cut out of deals

2. Exclusivity: Exclusive rights to introduce certain opportunities - use when finder requires territorial or sector exclusivity

3. Insurance: Requirements for professional indemnity insurance - use when dealing with regulated activities

4. Force Majeure: Provisions for unforeseen circumstances - recommended for longer-term arrangements

Suggested Schedules

1. Fee Calculation Schedule: Detailed methodology for calculating fees

2. Target Investment Criteria: Specific parameters for acceptable investment opportunities

3. Regulatory Disclosures: Required regulatory statements and disclaimers

4. Approved Introduction Template: Standard format for making introductions

5. Compliance Requirements: Detailed regulatory compliance procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions






























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Relevant Industries
Relevant Teams
Relevant Roles
Industries

Financial Services and Markets Act 2000 (FSMA): Primary legislation governing financial services in the UK, covering regulated activities, FCA authorization requirements, and permitted activities in relation to financial services

FCA Handbook: Regulatory guidance including the Conduct of Business Sourcebook (COBS), requirements for financial promotions, and rules regarding introduction of investment opportunities

Financial Services and Markets Act 2000 (Financial Promotion) Order 2005: Legislation governing restrictions on financial promotions and applicable exemptions for marketing financial products and services

Money Laundering Regulations 2017: Regulatory framework establishing due diligence requirements and reporting obligations for preventing money laundering in financial transactions

Bribery Act 2010: Anti-corruption legislation establishing anti-bribery provisions and guidelines for corporate hospitality in business relationships

Common Law Principles: Foundational legal principles covering contract formation, consideration, misrepresentation, and fiduciary duties in English law

Consumer Rights Act 2015: Legislation protecting consumer rights, relevant if any party to the agreement might be considered a consumer

Limitation Act 1980: Legislation establishing time limits for bringing legal claims in England and Wales

Alternative Investment Fund Managers Directive (AIFMD): European regulatory framework (as incorporated into UK law) governing alternative investment fund managers and relevant private equity arrangements

Data Protection Act 2018 and UK GDPR: Legislation governing the handling and protection of personal data in the UK post-Brexit

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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