Loan Agreement Between Parent Company And Subsidiary Template for Nigeria

1. Parties: Identifies the parent company as lender and subsidiary as borrower, including registration details and addresses

2. Background: Explains the parent-subsidiary relationship and purpose of the loan

3. Definitions: Defines key terms used throughout the agreement

4. Loan Amount and Purpose: Specifies the loan amount, currency, and permitted uses of the funds

5. Interest Rate and Calculation: Details the interest rate, calculation method, and payment frequency

6. Drawdown: Specifies conditions and procedures for accessing the loan funds

7. Repayment Terms: Sets out repayment schedule, method, and currency of repayment

8. Representations and Warranties: Standard declarations by the borrower about its status and capacity

9. Covenants: Ongoing obligations of the borrower during the loan term

10. Events of Default: Circumstances that would trigger default and remedies available

11. Transfer Pricing Compliance: Confirms arm's length nature of the loan terms

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

13. Governing Law and Jurisdiction: Confirms Nigerian law governs and specifies courts for disputes

14. Execution: Signature blocks and execution requirements

1. Repayment Schedule: Detailed schedule of repayment dates and amounts

2. Form of Drawdown Notice: Template for subsidiary to request loan disbursements

3. Interest Calculation Examples: Examples showing how interest will be calculated

4. Transfer Pricing Documentation: Evidence of arm's length terms and market comparison

5. Corporate Authorizations: Copies of board resolutions and other approval documents

6. Security Details: If applicable, detailed description of any security provided

7. Regulatory Approvals: Copies of relevant regulatory consents and approvals