The undersigned hereby agrees, subject to and in accordance with the terms, provisions and conditions set forth herein, to purchase an aggregate of 100,000 shares (the “Shares”) of common stock, $0.00001 par value per share, of XXXXXInc. a Delaware corporation (the “Company”), in exchange for cash in the amount equal to $0.10 per Share, which is agreed to be at least 100% of the fair market value per Share, for an aggregate amount of $10,000.00. The undersigned represents, warrants and acknowledges that the undersigned: (i) has had an opportunity to ask questions of and receive answers from a Company representative concerning the terms and conditions of this investment; (ii) is acquiring the Shares with the undersigned’s own funds, for the undersigned’s own account for the purpose of investment, and not with a view to any resale or other distribution thereof in violation of the Securities Act of 1933, as amended (the “Securities Act”); and (iii)is a sophisticated investor with such knowledge and experience in financial and business matters as to be able to evaluate the merits and risks of an investment in the Shares and that the undersigned is able to and must bear the economic risk of the investment in the Shares for an indefinite period of time because the Shares have not been registered under the Securities Act, and therefore, cannot be offered or sold unless they are subsequently registered under the Securities Act or an exemption from such registration is available. Furthermore, the Company may place legends on any stock certificate representing the Shares with the securities laws and contractual restrictions thereon and issue related stop transfer instructions.The undersigned acknowledges and understands that the Shares have not been registered under the Securities Act, nor registered pursuant to the provisions of the securities laws or other laws of any other applicable jurisdictions, in reliance on exemptions for private offerings contained in Section 4(2) of the Securities Act and in the laws of such jurisdictions. The undersigned further understands that the Company has no intention and is under no obligation to register the Shares under the Securities Act or to comply with the requirements for any exemption that might otherwise be available, or to supply the undersigned with any information necessary to enable the undersigned to make routine sales of the Shares under Rule 144 or any other rule of the Securities and Exchange Commission.
I have the opportunity to buy into this company, which is just starting up. I know the people.
Just based on what you read, is this standard legalize ? Is it an ok thing to sign, trusting the owners? would you if you thought the idea outstanding?
Thanks for any ideas. I have never invested in my life and would like to help out and possibly help myself later on.