This loan agreement stockholder to corporation template has 5 pages and is a MS Word file type listed under our finance & accounting documents.
Sample of our loan agreement stockholder to corporation template:
LOAN AGREEMENT This Loan Agreement ("Agreement") is made and effective the [DATE], BETWEEN: [LENDER NAME] (the "Lender"), a stockholder of [COMPANY], having [his/her] main residence located at: [COMPLETE ADDRESS] AND: [YOUR COMPANY NAME] (the "Borrower"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] RECITALS WHEREAS, Borrower desires to obtain from Lender a loan in the principal amount of [AMOUNT] (the "Loan"); and WHEREAS, Lender is a stockholder of [COMPANY] and, Lender desires to grant Borrower the Loan to [BRIEFLY EXPLAIN HOW THE LOAN WILL BE USED]. WHEREAS, Borrower's obligation to repay the Loan shall be evidenced by a promissory note substantially in the form attached as Exhibit A hereto (the "Note"). Borrower shall execute and deliver to Lender the Note concurrently with execution and delivery of this Agreement. NOW, THEREFORE, in consideration of the terms and conditions herein contained and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: Promise to Pay Within [NUMBER] months from today, Borrower promises to pay to Lender the sum of [AMOUNT]. (OPTIONAL: and interest and other charges stated below). Breakdown of Loan Amount of Loan: Total of payments: Annual Rate: Repayment Borrower will repay the amount of this loan in [NUMBER] equal uninterrupted monthly installments of [AMOUNT] each on the [DAY] of each month starting on the [DATE], and ending on [DATE]. Prepayment Lender grants Borrower the right to prepay the whole outstanding amount at any time. Responsibility Although this Agreement may be signed below by more than one person, Borrower warrants to Lender that the stockholders of [COMPANY] (except Lender himself) are each as individuals responsible for paying back the full amount. Late Charge [OPTIONAL] Any installment not paid within [NUMBER] days of its due date shall be subject to a late charge of [%] of the payment, not to exceed [AMOUNT] for any such late installment. Security To protect Lender, Borrower gives what is known as a security interest or mortgage in: [Describe] Default If for any reason Borrower fails to make any payment on time, Borrower shall be in default. The Lender can then demand immediate payment of the entire remaining unpaid balance of this loan, without giving anyone further notice. If Borrower has not paid the full amount of the loan when the final payment is due, the Lender will charge me interest on the unpaid balance at [%] per year. Right of Offset If this loan becomes past due, the Lender will have the right to pay this loan from any deposit or security Borrower has with Lender without further notice. IN WITNESS WHEREOF, the undersigned has caused this Loan Agreement to be duly executed as of the date first written below. LENDER BORROWER (Signing for [YOUR COMPANY NAME]) Authorized Signature Authorized Signature Print Name and Title Print Name and Title PROMISSORY NOTE This Promissory Note (the "Note") is made and effective the [DATE], BETWEEN: [LENDER NAME] (the "Lender"), a stockholder of [COMPANY], having [his/her] main residence located at: [COMPLETE ADDRESS] AND: [YOUR COMPANY NAME ] (the "Borrower"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] TERMS FOR VALUE RECEIVED, the Borrower promises to pay to the order of Lender the principal sum of [AMOUNT], together with all charges and interest herein provided, payable at the rate and in the manner hereinafter set forth: Borrower shall make monthly payments of principal and interest at the rate of [%] per annum based upon an amortization of [NUMBER] months. Monthly payments shall be due on or before the first day of each month with the first payment being due on or before [DATE]. If not sooner paid, all amounts due under this Note, including principal, interest and other charges shall be due and payable in full on or before the first day of [MONTH], [YEAR] (the "Maturity Date"). Time is of the essence of the payment obligations hereunder and each monthly payment shall be due and payable on or before the first day of each month. This Note is and will be secured by a certain first priority security interest in all of the tangible and intangible property of the Borrower, to be recorded in all applicable governmental offices. The parties shall execute a separate security agreement, in form and substance acceptable to the Lender in all respects. Borrower agrees to execute any such security agreements presented by the Lender or other documents required by the Lender in order to perfect its security interest in the above described property. Said Security Agreement and any other instruments and documents executed in connection with or given as security for this Note shall hereinafter be referred to collectively as the "Loan Documents." All of the terms, covenants, Conditions, representations and warranties contained in the Loan Documents are hereby made part of this Note to the same extent and with the same force and effect as if fully set forth herein.
