Document background
The Bond Promissory Note is a specialized financial instrument used in the Swiss market for debt financing transactions. It serves as a formal documentation of debt obligations, particularly suitable for companies seeking to raise capital through private placements or structured financing arrangements. The document incorporates specific requirements under Swiss law, including compliance with the Swiss Code of Obligations and financial market regulations. It contains detailed terms regarding the principal amount, interest calculations, payment schedules, and transfer rights. The Bond Promissory Note format is especially valuable when entities need a more streamlined alternative to traditional bond issuances while maintaining the security and transferability features of debt securities. This instrument is commonly used in both domestic Swiss transactions and cross-border financing arrangements where Swiss law is chosen for its reliability and well-established legal framework.
