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Success Fee Agreement
"I need a Success Fee Agreement for my investment advisory firm to use with clients, where we'll receive 2% of the transaction value upon successful completion of any M&A deal we broker, with the agreement starting from March 2025."
1. Parties: Identifies and defines the parties to the agreement, including their registered addresses and company details
2. Background: Sets out the context of the agreement and the general purpose for entering into a success fee arrangement
3. Definitions: Defines key terms used throughout the agreement, particularly the definition of 'success' and related terms
4. Scope of Services: Detailed description of the services to be provided by the service provider
5. Success Criteria: Clear and specific definition of what constitutes 'success' triggering the fee payment
6. Fee Structure: Detailed breakdown of the success fee calculation method and payment terms
7. Payment Terms: Timing and method of payment, including any interim payments or deposits
8. Obligations of the Service Provider: Specific duties and responsibilities of the party providing the service
9. Obligations of the Client: Specific duties and responsibilities of the client, including provision of necessary information
10. Term and Termination: Duration of the agreement and circumstances under which it can be terminated
11. Governing Law and Jurisdiction: Confirms Irish law as governing law and specifies jurisdiction for disputes
1. Exclusivity: Used when the service provider is to be the exclusive provider for the specified services
2. Partial Success Provisions: Include when partial success scenarios need to be addressed with corresponding partial fee arrangements
3. Performance Milestones: Used when progress needs to be tracked through specific milestones
4. Dispute Resolution: Detailed dispute resolution procedures, recommended for high-value agreements
5. Force Majeure: Include when protection against unforeseen circumstances is needed
6. Non-Circumvention: Used to prevent direct engagement between client and target companies/individuals
7. Confidentiality: Include when sensitive information will be shared during the service provision
8. Data Protection: Required when personal data will be processed as part of the services
9. Insurance: Include when specific insurance requirements need to be maintained
10. Intellectual Property: Used when services involve creation or use of intellectual property
1. Schedule 1 - Success Criteria Details: Detailed metrics and measurements for determining success
2. Schedule 2 - Fee Calculation Methodology: Detailed formula and examples of fee calculations
3. Schedule 3 - Service Specifications: Detailed description of services, methodologies, and deliverables
4. Schedule 4 - Timeline and Milestones: Detailed project timeline and key milestones
5. Schedule 5 - Key Personnel: List of key personnel involved in service delivery
6. Appendix A - Required Documentation: List of documents required to evidence success or calculate fees
7. Appendix B - Communication Protocols: Agreed procedures for project communications and reporting
Authors
Financial Services
Professional Services
Legal Services
Management Consulting
Real Estate
Investment Banking
Corporate Finance
Recruitment
Business Advisory
Mergers & Acquisitions
Private Equity
Venture Capital
Commercial Property
Business Brokerage
Legal
Finance
Corporate Development
Business Development
Mergers & Acquisitions
Corporate Finance
Commercial
Professional Services
Business Advisory
Procurement
Contracts Administration
Chief Executive Officer
Chief Financial Officer
Corporate Lawyer
Business Development Manager
Investment Banker
Management Consultant
Corporate Finance Director
M&A Advisor
Business Broker
Recruitment Consultant
Legal Counsel
Commercial Director
Finance Director
Business Advisory Director
Transaction Manager
Professional Services Director
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