This financing agreement short template has 3 pages and is a MS Word file type listed under our finance & accounting documents.
Sample of our financing agreement short template:
FINANCING AGREEMENT This Financing Agreement (the "Agreement") is effective [DATE], BETWEEN: [YOUR COMPANY NAME] (the "Borrower"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [SECOND PARTY NAME] (the "Lender"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] WHEREAS the Borrower wishes to establish a revolving credit facility with the [COMPANY NAME] (the "Lender") in the amount of [AMOUNT]; WHEREAS the Borrower continues to own all of the issued and outstanding shares of [YOUR COMPANY NAME]; WHEREAS it is desirable and in the best interests of the Borrower to enter into the aforesaid credit facilities; RESOLVED: 1. THAT [YOUR COMPANY NAME] enter into a loan agreement with the Lender, substantially upon the terms and subject to the conditions set forth in the draft loan agreement which is hereby approved (the "Loan Agreement") pursuant to which the Lender shall establish in favor of [YOUR COMPANY NAME] a facility of [AMOUNT] which [YOUR COMPANY NAME] can draw down, on a revolving basis, as follows: (i) as [COUNTRY] dollar advances bearing interest at prime plus [%] per annum; as [COUNTRY] dollar advances bearing interest at [COUNTRY] base rate plus [%] per annum; through the use of bankers' acceptances; and through the use of documentary letters of credit, standby letters of credit and letters of guarantee. 2. THAT [YOUR COMPANY NAME] create and issue a Demand Debenture (the "Debenture") in the principal amount of [AMOUNT], in lawful money of [COUNTRY], bearing interest at [%] per annum. 3. THAT [YOUR COMPANY NAME] charge all its undertaking, property, rights and assets to secure the due payment of all monies payable under the Debenture as provided therein. 4. THAT [YOUR COMPANY NAME] pledge the Debenture to the Lender as a general and continuing collateral security for the payment of any present and future indebtedness and liability of [YOUR COMPANY NAME] pursuant to the Loan Agreement, the whole upon the terms and subject to the conditions set forth and provided in the Debenture Pledge Agreement, which is hereby approved (the "Debenture Pledge Agreement"). 5. THAT the Debenture be secured in the [State/Province] of [STATE/PROVINCE] by way of a notarial Trust Deed of Hypothec, Mortgage and Pledge in favor of [TRUSTEE NAME] as Trustee (the "Trust Deed") hypothecating, mortgaging, pledging, charging, ceding, transferring and conveying to the said Trustee, in a manner similar to that provided in the Debenture, but subject to such variations and departures as may be required by the laws of [STATE/PROVINCE], for an amount expressed in [COUNTRY] currency equal to [%] of the principal amount of the Debenture, the undertaking, property, rights and assets of [YOUR COMPANY NAME] in the said Province, and containing such other provisions with respect to default, recourses in case of default, partial releases and other provisions normally found in deeds of such nature. 6
