Agreement Between Financier And Company Template for Nigeria

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Key Requirements PROMPT example:

Agreement Between Financier And Company

"I need an Agreement Between Financier And Company for a manufacturing company seeking NGN 500 million in working capital financing from a Nigerian commercial bank, with plant machinery and equipment as collateral, to be executed by March 2025."

Document background
The Agreement Between Financier And Company serves as the primary legal document governing financing arrangements in Nigeria, used when a company seeks to secure funding from a financial institution or other financing entity. This agreement is essential for both conventional and specialized financing transactions, incorporating necessary provisions to comply with Nigerian financial regulations, including BOFIA, CAMA 2020, and Central Bank of Nigeria directives. It's particularly crucial for documenting the terms of the facility, security arrangements, representations and warranties, covenants, and events of default. The agreement must reflect specific Nigerian legal requirements regarding financial transactions, corporate governance, and security registration, while also accommodating international best practices in financial documentation.
Suggested Sections

1. Parties: Identifies and defines the Financier and the Company with their full legal details

2. Background: Sets out the context of the financing arrangement and the parties' intentions

3. Definitions and Interpretation: Defines key terms used throughout the agreement and interpretation rules

4. Facility Amount and Purpose: Specifies the amount of financing and its intended use

5. Conditions Precedent: Lists conditions that must be satisfied before the financing becomes available

6. Drawdown Mechanics: Details the process and requirements for accessing the funds

7. Interest and Fees: Specifies interest rates, calculation methods, and all applicable fees

8. Repayment Terms: Sets out the repayment schedule and mechanisms

9. Security and Collateral: Details the security arrangements protecting the financier's interests

10. Representations and Warranties: States the legal promises made by the Company about its status and capacity

11. Covenants: Lists ongoing obligations of the Company during the financing period

12. Events of Default: Defines circumstances that constitute default and their consequences

13. Remedies: Outlines the financier's rights and remedies upon default

14. Notices: Specifies how formal communications between parties should be made

15. Governing Law and Jurisdiction: Confirms Nigerian law as governing law and jurisdiction for disputes

16. Boilerplate Provisions: Standard contract clauses including assignment, amendments, and severability

Optional Sections

1. Syndication Provisions: Required when multiple financiers are involved or syndication is contemplated

2. Currency Provisions: Needed for financing involving foreign currency elements

3. Islamic Finance Provisions: Required when the financing needs to comply with Islamic finance principles

4. Parent Company Guarantee: Included when a parent company guarantee is part of the security package

5. Inter-creditor Provisions: Required when there are multiple creditors with different priorities

6. Special Purpose Vehicle Provisions: Needed when financing involves an SPV structure

7. Project Finance Provisions: Required for project-specific financing arrangements

8. Step-In Rights: Included when financier requires right to take control in specific circumstances

Suggested Schedules

1. Facility Terms Schedule: Detailed terms of the facility including amounts, interest rates, and fees

2. Conditions Precedent Schedule: Comprehensive list of required documents and conditions

3. Form of Drawdown Notice: Template for the Company to request disbursement of funds

4. Repayment Schedule: Detailed breakdown of repayment dates and amounts

5. Security Documents: List and copies of all security documents

6. Corporate Information: Company's corporate documents and authorizations

7. Financial Covenants Schedule: Detailed financial ratios and requirements

8. Permitted Security Interests: List of pre-approved security interests

9. Form of Compliance Certificate: Template for periodic compliance reporting

10. Required Insurance Schedule: Details of insurance policies to be maintained

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

Banking and Financial Services

Manufacturing

Real Estate and Construction

Oil and Gas

Telecommunications

Agriculture

Mining

Technology

Healthcare

Retail and Consumer Goods

Infrastructure

Transportation and Logistics

Energy

Entertainment and Media

Relevant Teams

Legal

Finance

Treasury

Compliance

Risk Management

Corporate Secretariat

Credit

Executive Management

Corporate Finance

Business Development

Relevant Roles

Chief Financial Officer

Finance Director

Legal Counsel

Corporate Lawyer

Treasury Manager

Financial Controller

Risk Manager

Compliance Officer

Company Secretary

Managing Director

Chief Executive Officer

Commercial Director

Credit Risk Officer

Finance Manager

Legal Director

Transaction 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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