Code of conduct of BAN
C O D E
of
C O N D U C T
o f
B U S I N E S S A N G E L N E T W O R K
The BUSINESS ANGEL NETWORK is a non-profit organization, the objectives of which is to contribute to improvement of business environment in Lithuania, encouraging supply of informal venture capital, sharing of business experience and knowledge.
The main values of Business Angel Network are high standards of commercial honor and good business practice, open, honest and cooperative activity of Business Angel Network and persons taking part in it – employees, managing bodies and Business Angels.
The present CODE of CONDUCT sets out essential principals and standards of ethic behavior of Business Angel Network and of persons taking part in its activity, acting within the Business Angel Network as well as in the relations with third parties.
Each person acting within the Business Angel Network ensures proper compliance with and fulfillment of the rules and standards provided for herein.
ARTICLE 1.
Purpose and Role of Business Angel Network in the Society
The purpose of Business Angel Network is:
- to join together Business Angels, being ready using their own experience and interests to employ their financial resources investing into business, looking for financing opportunities;
- to create conditions for and to stimulate and cherish communication between Business Angels and business, looking for financing opportunities;
- to organize comparison of needs and interest of business, looking for financing opportunities, and Business Angels, seeking to establish concurrence;
- to organize training and consultancies representatives of business, looking for financing opportunities, and Business Angels and to rise level of proficiency of private financial market;
- to represent Business Angels as the community, jointly resolve rising questions and disagreements with decision taking state institutions;
- to stimulate high ethic Business Angel Network activity standards.
Executing the established objectives, Business Angel Network seeks to encourage creativity and entrepreneurship of the society, benevolence to innovative business, encourage and organize financing of innovative business, rendering of experience and knowledge, to increase knowledge and understanding of the society of Lithuania about the advantages of informal investment.
ARTICLE 2.
Purposes and Objectives of the Code of Conduct
Purpose of the Code of Conduct – to implement high standards of commercial honor and good business practice, to ensure open and honest activity of Business Angel Network, and participation of managing bodies of Business Angel Network as well as their members and Business Angels in the activity of Business Angel Network, communication of Business Angels and representatives of business, looking for financing opportunities.
All the persons taking part in the activity of Business Angel Network, including Business Angels and managing bodies of Business Angel Network, their members and employees thereof, shall comply with the present Code of Conduct, as well as with all the provisions of applicable laws, regulating commercial activity and activity of Business Angel Network in Lithuania.
ARTICLE 3.
Fundamental Principals of Activity in the Business Angel Network
In the activity within the Business Angel Network the equally and justly applicable principals of high commercial honor and good business practice shall be governing.
All the persons taking part in the activity of Business Angel Network, including but not limited to the employees of Business Angel Network, members of managing bodies and Business Angels, in the relations with each other as well as in the relations with any third persons, when acting on the grounds of employment or membership within or assignment of the Business Angel Network shall act impartially, avoiding any possible conflict of interests and unfair competition in compliance with principals of good business practice and commercial honor and shall strengthen prestige of Business Angel Network and shall not harm its reputation and image.
ARTICLE 4.
Members of the Business Angel Network
The Business Angels taking part in the Business Angel Network being representatives of mature business satisfy the highest standards of good business practice.
Business Angels taking part in the Business Angel Network comply with the present Code of Conduct, decisions adopted by the Business Angel Network and the requirements of the applicable laws.
Business Angels, taking part in the Business Angel Network and seeking for satisfaction of their personal financial interests:
- actively take part in the activity of Business Angel Network;
- with the other persons taking part in the Business Angel Network communicate with respect and business-like;
- coordinates at most their private financial interests with the financial interests of other Business Angels;
- contributes to the formation of the image of Business Angel Networkin the society;
- avoids any conflict of interests;
- avoids any unfair competition;
- avoids employment of equity of any doubtful origin investing either with assistance of Business Angel Network or independently;
- properly fulfills his obligations under the conditions of the contract of membership within the Business Angel Network and honestly executes his rights;
- complies with confidentiality obligations, provided for in the executed Confidentiality Agreement, and ensures limited usage of the information received during the activity within the Business Angel Network for the exclusively in the activity related with the Business Angel Network;
- honestly and timely remits fees established by the Business Angel Network;
- ensures full and thorough clearness of the investments with assistance of the Business Angel Network;
- in any negotiations with the representatives of business, looking for investment, seeks for honest balance of interests of all parties;
- expeditiously notifies to the representatives of Business Angel Network any negotiations relating investment into business with assistance of Business Angel Network intended to be started as well as the same taking place, terminated or suspended, also the results of the taking place or ended negotiations and create all the conditions for the representatives of the Business Angel Network to take part in such negotiations for the entire period thereof;
- properly and honestly fulfills the executed contracts concerning investments into business;
- expeditiously notifies to the representatives of Business Angel Network any noticed possibly illegal or unfair acts of other persons taking part in the activity of Business Angel Network;
- expeditiously notifies to the representatives of Business Angel Network any disagreements or questions, rising while participating in the activity of Business Angel Network and resolves the same in the order provided for herein;
- use attributes of Business Angel Network when it is possible;
- ensures that any act not discussed herein is fair and complies with high standards of commercial honor and good business practice, non disreditation of name of Business Angel and the entire Business Angel Network.
ARTICLE 5.
Employees of Business Angel Network and Members of Managing Bodies
Employees of Business Angel Network and members of managing bodies seek exclusively for the implementation of purposes and tasks of the Business Angel Network.
Only persons of irreproachable reputation might be the employees or members of managing bodies of Business Angel Network.
Performing their duties the employees and members of managing bodies of Business Angel Network:
- ensure effective and clear circulation of information to be spread within the Business Angel Network;
- strictly comply with the confidentiality obligations regarding any information, received on the basis of activity within the Business Angel Network and use such information exclusively in the activity related with the Business Angel Network;
- with the other persons taking part in the Business Angel Network communicate with respect and business-like;
- represent interests of Business Angel Network and separate members thereof against any third parties;
- in the activity of Business Angel Network of cooperation between the business, looking for the financing, and the Business Angels, completely dissociate from any personal interests and in case of absence of possibility thereof shall keep themselves aloof from resolution of certain questions expeditiously;
- take part actively in negotiations between the Business Angels and the representatives of business, looking for financing opportunities and seeks for the fair balance of interests of all parties;
- consult Business Angels and representatives of business looking for financing opportunities as long as it allows competence of respective employee or member of managing body;
- ensure impartial and objective judgment of any information received from Business Angels or representatives of business, looking for financing opportunities;
- ensure notability of Business Angel Network in the national and in the international level;
- form and strengthen image of the Business Angel Network in the society;
- use attributes of Business Angel Network when it is possible;
- ensures that any act not discussed herein is fair and complies with high standards of commercial honor and good business practice, non disreditation of name of the Business Angel Network.
ARTICLE 6.
Resolution of questions and disputes
All and any disputes or questions rising during the participation in the Business Angel Network shall be resolved in the manner of negotiations, following the principals of honesty, intelligence and justice, and in case of failure to reach an agreement during negotiations, shall be transferred to the respective body of Business Angel Network, the resolution of which shall be recommendatory for both parties in discord.
ARTICLE 7.
Application of the Code
The present Code of Conduct shall be valid and shall be applicable to all the persons participating in the activity of the Business Angel Network.
Should the person participating in the activity of Business Angel Network infringe the present Code, he shall expeditiously suspend his activity within the Business Angel Network. Infringement hereof by the decision of the board of the Business Angel Network or the other body empowered thereby shall be the ground for termination of the membership agreement concluded with the member, to dismiss the member of the body of the Business Angel Network from his position, or to terminate the employment contract concluded with the employee being in breach hereof.
Interpretation hereof is the exclusive competence of the board of the Business Angel Network or other body empowered thereby.
The board of the Business Angel Network or other body empowered thereby analyses and issues reports on compliance and infringements hereof.