Entrepreneurs sometimes think they can bypass these important documents because business partners are good friends who will discover things over time. But disagreements are inevitable in any business. An LLC should have a similar legal document, called a corporate agreement, describing how the LLC is managed, the distribution of profits and losses, and the rights and obligations of LLC owners, known as “members.” Depending on the successes of angel investing, it later often leads to venture capital investments. The process and thinking of demanding angel investors is similar to that of professional venture capitalists. While the articles of association define the shareholders` relationship with the company, a shareholders` agreement defines the relationship between the shareholders.