David, Brody & Dondershine, LLP Experienced General Business Law Attorneys
2100 Reston Parkway, Suite 370
Reston, VA 20191

What is a partnership subscription agreement?

We note at the Northern Virginia law firm of David, Brody & Dondershine that our seasoned attorneys “provide comprehensive corporate law and business formation services.”

We know that covers a lot of ground. Our website page addressing the firm’s commercial law advocacy provides a partial list of the types of things we do to promote our valued clients’ interests. Our representation spans matters ranging from entity formation and contract negotiation to employer/worker interactions and financing.

It also encompasses the drafting and enforcement of agreements relevant to business ownership, compensation, equity participation and a host of additional concerns.

As we underscore on the above-cited webpage, one singular form of agreement we help clients negotiate and draft is the so-called “subscription contract” that often plays a key role in limited partnerships (and sometimes private placements geared toward raising business capital).

One online review that closely examines such agreements stresses their applicability in instances where general partners seek to bring on limited partners and infuse additional capital into the business via share purchases.

A subscription agreement is the legal vehicle that sets forth the terms and conditions for achieving that goal. Specifically, an executed subscription contract adds silent partners to the company mix and spells out the details concerning their contribution to the business. As duly stressed above, it can also command applicability in cases where a limited private stock offering is made to a restricted number of accredited investors.

It is certainly reasonable for many company principals to have questions concerning the role and utility of subscription agreements in business matters. Proven commercial attorneys can respond to queries and provide assistance that fully promotes a commercial enterprise’s best interests.

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