Innovative start-up investment fund according to legal regulations

What recommendations must be clearly stated in the Charter of the Creative Startup Investment Fund?

1. The creative startup investment fund is established by a maximum number of investors?

Innovative start-up investment funds are established by a maximum number of investors as prescribed in Article 5 of Decree 38/2018/ND-CP as follows:

Innovative startup investment fund

1. Innovative startup investment fund has no legal status, established by a maximum of 30 investors on the basis of the fund’s charter. Creative startup investment funds are not allowed to contribute capital to other creative startup investment funds.

2. Assets contributed as capital can be in Vietnam Dong, gold, value of land use rights and other assets can be valued in Vietnam Dong. Investors are not allowed to use loan capital to contribute capital to establish an innovative startup investment fund.

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Thus, according to the provisions of law, the Creative Start-up Investment Fund is due to the maximum 30 investors contributed capital to establish on the basis of the Fund’s Charter.

In addition, the Creative Startup Investment Fund does not have legal status and cannot contribute capital to other creative startup investment funds.

2. What recommendations must be clearly stated in the Charter of the Creative Startup Investment Fund?

The operational objectives in the Charter of the Creative Startup Investment Fund must clearly state the recommendations specified in Article 6 of Decree 38/2018/ND-CP as follows:

Charter of innovative startup investment fund

1. The charter of the innovative startup investment fund must be approved by all investors.

2. The fund charter includes the following main contents:

a) Name of investment fund, date of establishment, duration of operation of the fund, company managing the fund;

b) Operational objectives; investment field; operating principles; operating term of the fund;

c) Contributed capital of the fund and regulations on increase and decrease of contributed capital of the fund;

d) Rights and obligations (including salaries, bonuses, operating fees) of the fund management company, the fund representative board, and the fund director; cases of changing the fund management company, the Fund Representative Board, the Fund Director;

dd) Regulations on the General Meeting of Investors;

e) Regulations on the authority to decide on the investment portfolio;

g) Regulations on keeping the fund’s investor registration book;

h) Regulations on profit division;

i) Regulations on resolving conflicts of interest;

k) Regulations on reporting regime;

l) Regulations on dissolution and liquidation of funds;

m) Regulations on transfer of capital contributions of investors;

n) Procedures for amending and supplementing the Fund Charter;

o) Other contents (if any).

3. The Operational Objectives section of the Fund Charter must clearly state the following recommendations: This Fund aims to invest in innovative small and medium-sized startups. Investment in this fund is only suitable for investors willing to accept a potentially high level of risk from the fund’s investments. Investors in this fund need to consider carefully before contributing capital and deciding to invest.

Thus, according to the law, the Operational Objectives section of the Charter of the Creative Startup Investment Fund must clearly state the following recommendations:

– This fund aims to invest in creative small and medium-sized startups

– Investing in this fund is only suitable for investors willing to accept potentially high levels of risk from investment in the fund.

– Investors in this fund need to consider carefully before contributing capital and deciding to invest.

3. Can investors of the Creative Startup Investment Fund hire a company to manage the Fund?

Can investors of the Creative Startup Investment Fund hire a company to manage the Fund as stipulated in Article 7 Decree 38/2018/ND-CP as follows:

Innovative Startup Investment Fund Management Organization create

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2. Fund investors can establish or hire a company to manage innovative startup investment funds. The fund management company is responsible for carrying out the procedures for establishing the fund and announcing the addition of creative start-up investment fund management sectors and professions in accordance with the law on business registration when managing the creative start-up investment fund.

Thus, according to the law, investors of the Creative Start-up Investment Fund are allowed to hire a company to perform the management. Fund.

In addition, the fund management company is responsible for carrying out the procedures for establishing the fund and announcing the addition of creative start-up investment fund management industries and professions in accordance with the law on business registration when managing creative start-up investment funds.