Loan Broker Fee Agreement Template for Indonesia

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Key Requirements PROMPT example:

Loan Broker Fee Agreement

"I need a Loan Broker Fee Agreement for my real estate financing company based in Jakarta, with a tiered commission structure where the broker receives 1% for loans under IDR 5 billion and 1.5% for larger amounts, including exclusive rights for a 6-month period starting March 2025."

Document background
The Loan Broker Fee Agreement is essential for formalizing the professional relationship between loan brokers and clients seeking financing assistance in Indonesia. This document is typically used when a client engages a broker to source and negotiate loan opportunities with potential lenders. The agreement must comply with Indonesian Financial Services Authority (OJK) regulations and relevant financial services laws. It details the broker's services, fee structures, success criteria, and payment conditions, while ensuring transparency and consumer protection as required by Indonesian law. The document is particularly important in commercial lending contexts where complex financing arrangements require professional intermediary services.
Suggested Sections

1. Parties: Identifies and provides full details of the broker and the client

2. Background: Contextualizes the agreement, stating the broker's qualifications and client's desire to engage broker's services

3. Definitions: Defines key terms used throughout the agreement

4. Scope of Services: Details the specific services to be provided by the broker, including loan sourcing and negotiation

5. Broker's Obligations: Outlines the broker's duties, responsibilities, and standard of service

6. Client's Obligations: Specifies client's responsibilities, including providing accurate information and cooperation

7. Fee Structure: Details the broker's fees, calculation method, and payment terms

8. Payment Terms: Specifies when and how payments should be made, including trigger events

9. Representations and Warranties: Contains statements of fact and promises by both parties

10. Confidentiality: Establishes obligations regarding confidential information

11. Term and Termination: Specifies duration of agreement and conditions for termination

12. Governing Law and Jurisdiction: Specifies Indonesian law as governing law and defines jurisdiction for disputes

13. General Provisions: Contains standard boilerplate clauses including notices, amendments, and severability

Optional Sections

1. Exclusivity: Optional clause for exclusive broker arrangements, preventing client from engaging other brokers

2. Success Fee: Additional section detailing performance-based compensation, if applicable

3. Force Majeure: Addresses unforeseen circumstances preventing performance of obligations

4. Non-Solicitation: Prevents parties from soliciting each other's employees or clients

5. Insurance: Details required insurance coverage if broker needs specific insurance

6. Anti-Money Laundering Compliance: Specific provisions for high-value transactions requiring AML compliance

7. Data Protection: Additional provisions for handling personal data if significant data processing is involved

Suggested Schedules

1. Schedule A - Fee Schedule: Detailed breakdown of all fees, commissions, and calculation methods

2. Schedule B - Service Level Agreement: Specific performance metrics and service standards

3. Schedule C - Required Documentation: List of documents required from client for loan applications

4. Schedule D - Broker Credentials: Copies of broker's licenses, certifications, and registrations

5. Appendix 1 - Contact Information: Key contact details for both parties and authorized representatives

6. Appendix 2 - Compliance Checklist: Regulatory compliance requirements and documentation

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
Clauses
Relevant Industries

Financial Services

Banking

Real Estate

Corporate Finance

Small Business Services

Commercial Lending

Property Development

Infrastructure

Manufacturing

Agriculture

Mining

Trade and Commerce

Relevant Teams

Legal

Finance

Treasury

Compliance

Risk Management

Corporate Development

Business Development

Commercial Lending

Credit Analysis

Corporate Finance

Relevant Roles

Chief Financial Officer

Finance Director

Treasury Manager

Loan Officer

Financial Broker

Business Development Manager

Commercial Finance Manager

Credit Manager

Financial Controller

Legal Counsel

Compliance Officer

Risk Manager

Corporate Finance Manager

Investment Manager

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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