Return to Angel Investors

Code of Conduct

Mannheim Business Angels network e.V.

Honor Code

Definition of Business Angels (Angel Investor)

Individuals (Investors) who directly or through an intermediary company invest their own capital in new and growing unlisted companies along with providing essential business contacts, network or advice.

In return they receive a stake in the company with the aim of mid-term exit or in some cases, their commitment is long-term or permanent.

Definition of Business Angels network

Angel investors who join together to form a group with the aim to assess and to invest in capital seeking company (Investee).

Mannheim Business Angels network e.V. is a Business Angels network

 

General Mannheim Business Angels network e.V. guidelines

 

The members of the Mannheim Business Angels network

  1. support the idea of Business Angels,
  2. are committed to the general principles of “respectable businessman” in dealing with Investees, Investors, networks, third parties, other Business Angels networks and at all times will conduct business in a fair and honest way,
  3. acknowledge that Mannheim Business Angels network assumes no liability for the contents, accuracy, completeness and timeliness of information provided by Investees or Business owners,
  4. will arrange with the entrepreneurs or founders, in whose company they invest, a fair business valuation,
  5. undertake to contribute to the public relations of Mannheim Business Angels network and become campaigning advocates for the Business Angels thoughts, of Business Angels culture and of any association of which Mannheim Business Angels network is a part,
  6. will develop their activities in a professional way and will not be associated with inappropriate or illegal practices or parties that may damage the reputation of Mannheim Business Angels network,
  7. will not allow Investors to enter their network if they suspect the money available for investment to be of questionable origin,
  8. are financially independent, so that the eventual total loss of the equity interest in a Investee Company has only a negligible effect on his/her personal and economic situation.
  9. are not allowed to make any other business with the startups besides of investing into them.
  10. all information hosted in the working-group of Mannheim Business Angels network on gust.com belongs to Mannheim Business Angels network e.V. or the startups that provide the informations. It may not be used for any other purpose than making investments into the startups without prior written consent by Mannheim Business Angels network e.V.


Mannheim Business Angels network e.V. – Operational Code of Ethics

Deal Screening:

  1. When an Investee company applies to Mannheim Business Angels network, it must provide an executive summary and business plan in a format that can be circulated to the Mannheim Business Angels network members. These details must not be circulated to outside parties without the written agreement of the Investee.

Conflict of Interest:

  1. While any member with the area of expertise same as that of Investee maybe involved in any phase (screening/due-diligence/investment, etc.) by Mannheim Business Angels network, he/she must act with utmost professional and personal conduct.
  2. Mannheim Business Angels network members must insure that they do not use information/data/concept provided by Investee, for personal or professional assignments, that is proprietary to the Investee and not generally known to the public, whether in tangible or intangible form, whenever and however disclosed.

Fees or Commissions:

  1. All fees/commissions/charges, if any, that are charged to the Investors or Investees must be disclosed before any formal contract is entered into by the Mannheim Business Angels network e.V. This includes registration fees, success fees, and fees for other services provided by Mannheim Business Angels network e.V. 

Investment recommendation:

  1. Members must carry out their own due diligence before investing in any Investee company.
  2. A Mannheim Business Angels network recommendation is not an Investment offer neither it is binding for any Mannheim Business Angels network-member to take part in any investment.
  3. Mannheim Business Angels-network members are required to evaluate any personal tax or legal obligation arising from their investment. Mannheim Business Angels network is not liable for any such expense.

Confidentiality and data security:

  1. Mannheim Business Angels network will have reasonable rules to ensure data protection is set up and comply with them also.
  2. Members will do their utmost to ensure that information they receive will be treated confidentially and will take steps to ensure that it remains so and is not divulged to other parties without the authority of the Investee or Investor, as appropriate.
  3. Investees must not share any third-party proprietary data with Mannheim Business Angels network without taking adequate approvals. Mannheim Business Angels network or its members shall not bear any responsibility or would be held accountable for any such proprietary data disclosed to it without relevant approvals.

 Disclaimer:

The Mannheim Business Angels network e.V. is not a venture fund, investment bank, broker/dealer, investment clearinghouse, investment portal, or any other form of investment advisor. Any information distributed by the Mannheim Business Angels network, its officers  and its members is for information purposes only and is not intended to be, and is not, an endorsement, approval or other recommendation with respect to any securities and/or investments. Dissemination of information does not constitute an endorsement of the accuracy or adequacy of the information.

Potential or actual investors are responsible for obtaining all necessary information for evaluating the relative merits and risks of an investment, as well as engaging their own investment advisor if deemed to be appropriate. Mannheim Business Angels network is not responsible for, and shall have no liability for, any investment decisions. The entering into of any investment transaction will be with the respective company without involvement of, or participation by, Mannheim Business Angels network. Potential or actual investors understand that any investment they may make entails substantial risks and need to be able to bear the complete loss of any such investment.