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Revolving Agreement for Singapore

Revolving Agreement Template for Singapore

A Revolving Agreement under Singapore law is a financial contract that establishes a credit facility allowing the borrower to draw down, repay, and re-draw funds up to a specified limit. The agreement is governed by Singapore's robust financial regulatory framework, including the Banking Act and Monetary Authority of Singapore guidelines. It typically includes detailed terms on credit limits, interest calculations, drawdown mechanisms, repayment obligations, and security arrangements, while incorporating specific compliance requirements under Singapore's financial services regulations.

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What is a Revolving Agreement?

The Revolving Agreement is a crucial financing instrument in Singapore's commercial landscape, providing flexible access to credit for businesses and individuals. This document type is particularly relevant when parties require ongoing access to funds with the ability to draw down and repay multiple times within a set limit. The agreement, governed by Singapore law, encompasses comprehensive terms including facility limits, interest rates, security arrangements, and compliance with local banking regulations. It's commonly used for working capital financing, trade facilities, and general corporate purposes, incorporating specific requirements under Singapore's Banking Act and MAS guidelines.

What sections should be included in a Revolving Agreement?

1. Parties: Identification and details of all contracting parties

2. Background: Context and purpose of the revolving agreement

3. Definitions: Key terms and their meanings used tHRoughout the agreement

4. Facility Terms: Core terms including credit limit, interest rates, and repayment terms

5. Conditions Precedent: Requirements to be met before facility becomes available

6. Representations and Warranties: Statements of fact and assurances by parties

7. Covenants: Ongoing obligations of the parties

8. Events of Default: Circumstances constituting default and consequences

9. Termination: Conditions and process for ending the agreement

What sections are optional to include in a Revolving Agreement?

1. Security: Details of any collateral or security arrangements when facility is secured

2. Guarantees: Terms of any guarantees provided when third-party guarantees are involved

3. Insurance: Required insurance coverage when specific insurance is required

4. Assignment: Rights to transfer or assign the agreement when transfer rights are relevant

What schedules should be included in a Revolving Agreement?

1. Facility Details Schedule: Detailed terms of the revolving facility including limits and pricing

2. Conditions Precedent Documents: List of required documents and conditions

3. Form of Drawdown Notice: Standard form for requesting drawdowns

4. Security Documents: Forms and details of security arrangements

5. Fee Schedule: Detailed breakdown of all applicable fees

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Singapore

Publisher

Ƶ

Document Type

Credit Agreement

Sector

Banking

Cost

Free to use
Relevant legal definitions


































Clauses































Industries

Contracts Act 1872 (Chapter 53): Primary legislation governing contract formation, capacity to contract, free consent, consideration, and validity requirements in Singapore

Banking Act (Chapter 19): Regulates banking operations and credit facilities, including relevant banking regulations and requirements for revolving credit arrangements

Moneylenders Act (Chapter 188): Governs lending activities, including licensing requirements and restrictions for money lending operations

Consumer Protection (Fair Trading) Act (Chapter 52A): Protects consumer interests in transactions and provides provisions against unfair trading practices

Personal Data Protection Act 2012 (PDPA): Governs the collection, use, and disclosure of personal data, including privacy obligations in contractual relationships

Electronic Transactions Act (Chapter 88): Provides legal framework for electronic transactions, including digital signatures and electronic records

Limitation Act (Chapter 163): Sets time limits for enforcement of contractual rights and claim periods

Property Law: Relevant when revolving agreement involves property as security or collateral

MAS Guidelines: Monetary Authority of Singapore guidelines governing banking and financial services regulations, including credit and lending requirements

Competition Act (Chapter 50B): Ensures fair competition and prevents anti-competitive practices in business arrangements

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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