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Cash Credit Agreement
"I need a Cash Credit Agreement for a UAE-based manufacturing company seeking a AED 5 million credit facility from Emirates NBD, with the facility to commence from March 2025 and including security over the company's equipment."
1. Parties: Identification of the lender (bank/financial institution) and borrower with full legal names and addresses
2. Background: Context of the credit facility and relationship between parties
3. Definitions: Key terms used throughout the agreement including Facility Amount, Interest Rate, Facility Period, etc.
4. Facility Terms: Details of the credit facility including amount, purpose, availability period
5. Interest and Fees: Interest calculation method, payment periods, applicable fees and charges
6. Drawdown: Conditions and procedures for drawing down the credit facility
7. Repayment Terms: Repayment schedule, method, and prepayment provisions
8. Representations and Warranties: Borrower's confirmations regarding their legal and financial status
9. Covenants: Positive and negative obligations of the borrower during the facility period
10. Events of Default: Circumstances constituting default and consequences
11. Security: Details of any security or guarantee required for the facility
12. Governing Law and Jurisdiction: Confirmation of UAE law application and jurisdiction
1. Islamic Banking Provisions: Required if the facility needs to be Sharia-compliant, including relevant Islamic financing structures
2. Currency Provisions: Required for facilities involving multiple currencies or foreign currency transactions
3. Tax Provisions: Required when tax implications need specific addressing, particularly for corporate borrowers
4. Assignment and Transfer: Include when the facility may be transferred or syndicated
5. Agency Provisions: Required for syndicated facilities involving multiple lenders
6. Joint and Several Liability: Required when there are multiple borrowers
7. Insurance: Required when specific insurance coverage is mandatory for the facility
1. Facility Summary: Key commercial terms including facility amount, interest rate, tenor, and purpose
2. Conditions Precedent: List of documents and conditions required before facility availability
3. Form of Drawdown Notice: Template for borrower to request facility drawdown
4. Repayment Schedule: Detailed schedule of repayment dates and amounts
5. Fee Schedule: Detailed breakdown of all applicable fees and charges
6. Security Documents: List and copies of all security documents
7. Calculation of Interest: Detailed methodology for interest calculation
8. Know Your Customer Requirements: List of required KYC documents and information
Authors
Banking
Financial Services
Real Estate
Construction
Manufacturing
Trading
Retail
Healthcare
Education
Hospitality
Transportation
Technology
Energy
Infrastructure
Legal
Finance
Treasury
Credit
Risk Management
Compliance
Corporate Banking
Operations
Credit Administration
Documentation
Chief Financial Officer
Finance Director
Treasury Manager
Credit Manager
Risk Manager
Legal Counsel
Compliance Officer
Relationship Manager
Credit Analyst
Corporate Banking Officer
Finance Manager
Financial Controller
Banking Operations Manager
Credit Risk Officer
Legal Director
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