Revolving Credit Promissory Note Template for Belgium

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Key Requirements PROMPT example:

Revolving Credit Promissory Note

"I need a Belgian law Revolving Credit Promissory Note for a €5 million facility between BankCo SA as lender and TechStart SPRL as borrower, with quarterly interest payments and a maturity date of March 15, 2025."

Document background
The Revolving Credit Promissory Note is a crucial document in Belgian commercial lending practices, typically used when businesses require flexible access to credit while providing lenders with a legally enforceable debt instrument. This document type combines the formal requirements of promissory notes under Belgian law with the practical needs of revolving credit facilities, allowing borrowers to draw down, repay, and redraw funds within an agreed maximum limit. It's particularly useful for businesses with cyclical cash flows or varying capital needs. The document must comply with the Belgian Bills of Exchange and Promissory Notes Law while incorporating specific provisions required under the Economic Law Code for credit arrangements. The structure ensures both flexibility for the borrower and security for the lender, making it a valuable tool in commercial financing.
Suggested Sections

1. Parties: Identification of the maker (borrower) and payee (lender) with full legal names and addresses

2. Background: Context of the revolving credit facility and the purpose of the promissory note

3. Definitions: Key terms used throughout the document, including credit facility terms, interest calculations, and payment provisions

4. Promise to Pay: Unconditional promise to pay the principal amount or any part thereof that may be advanced and readvanced from time to time

5. Credit Facility Terms: Details of the revolving nature of the credit, including maximum facility amount and drawdown conditions

6. Interest Rate: Specification of interest rate(s), calculation method, and payment frequency

7. Repayment Terms: Payment schedule, method of payment, and provisions for revolving nature of the facility

8. Events of Default: Circumstances that trigger default and consequences thereof

9. Security: Reference to any security or guarantees supporting the note

10. Governing Law: Explicit statement of Belgian law as governing law

11. Execution: Signature blocks and date of execution

Optional Sections

1. Representations and Warranties: Additional assurances from the maker, used when the credit amount is substantial or the borrower's circumstances require specific confirmations

2. Prepayment Provisions: Terms governing early repayment rights and any associated penalties, included when early repayment is permitted

3. Currency Provisions: Required when the credit facility is in a currency other than EUR

4. Tax Provisions: Included when tax implications need to be explicitly addressed, particularly for cross-border transactions

5. Assignment and Transfer: Terms governing the transfer or assignment of the note, included when transferability is anticipated

6. Notice Provisions: Detailed communication requirements, included for more complex credit relationships

7. Financial Covenants: Additional financial requirements for the borrower, included for larger credit facilities or higher-risk borrowers

Suggested Schedules

1. Drawdown Notice Form: Template form for requesting advances under the revolving facility

2. Repayment Schedule: Detailed schedule of minimum repayment requirements and dates

3. Interest Rate Calculation Examples: Examples demonstrating how interest is calculated in various scenarios

4. Security Details: Detailed description of any security or collateral provided

5. Compliance Certificate: Form for periodic confirmation of compliance with terms

6. Related Security Documents: List and copies of associated security documents

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Relevant Industries

Banking and Financial Services

Corporate and Investment Banking

Commercial Real Estate

Manufacturing

Retail and Consumer Goods

Technology and Software

Healthcare and Pharmaceuticals

Energy and Utilities

Transportation and Logistics

Professional Services

Relevant Teams

Legal

Finance

Treasury

Credit Risk

Compliance

Corporate Banking

Commercial Banking

Business Development

Corporate Finance

Risk Management

Relevant Roles

Chief Financial Officer

Finance Director

Treasury Manager

Corporate Banker

Relationship Manager

Credit Officer

Legal Counsel

Corporate Lawyer

Compliance Officer

Risk Manager

Financial Controller

Managing Director

Business Development Manager

Account Manager

Credit Analyst

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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