You want to buy goods – on credit. You first need a revolving loan from the seller. Or maybe you`re selling items and you`re willing to lend to trusted buyers. You have to get it. Read More Not all loans require piles of paperwork. A revolving loan agreement is quite simple and often only exists between a single seller or company and a customer. Maybe the customer regularly makes major purchases. Or maybe the client owns a small business, but their check writing process takes a few days. If you are the seller, you can still benefit from a loan agreement. You may have just gotten a client with high expenses for life. What if they don`t pay on time? You can arrange a late payment penalty or interest with a revolving line of credit. A revolving line of credit can help make doing business a little easier for buyers and sellers. Other names for this document: Revolving Line of Credit Agreement FOR VALUE RECEIVED, __ and the decision to lend this money is at the sole and absolute discretion of the lender.
DEFAULT: The Borrower will default on this Debenture if any of the following occurs: (i) The Borrower fails to comply with its obligation to pay the principal or interest payments required under this Agreement. (ii) the borrower is dissolved or liquidated; (iii) the borrower will make an assignment to creditors or will be unable or admit in writing its inability to pay its debts when due; (iv) the borrower must initiate all matters, proceedings or other measures under the existing or future law of any court relating to bankruptcy, insolvency, reorganization or discharge of debtors, or such action is brought against the undersigned; (v) the borrower undergoes a designated receivership for the borrower or for his or her property, or undergoes a seizure, seizure, remission or enforcement. INTEREST AND CAPITAL: The outstanding principal of this line of credit is simply paid interest at an interest rate of __ percent (_%) per annum. Interest shall be calculated on the basis of the balance of the principal, which may be adjusted from time to time to take account of additional advances under this Agreement. Interest on the outstanding balance of this obligation accrues monthly, but is not due and payable until the principal balance of this obligation is due and payable. The principal balance of this obligation is due and payable on ___ REMEDY: In the event of default with this obligation, the lender may declare that the entire amount due and due is immediately due and payable. The lender may also use all legal and equitable remedies to assert and recover the amount due under this debenture. The Borrower hereby waives the claim, submission, dishonor, diligence in collection, mercy and protest. .
SECURITY: This obligation consists of a mortgage (“mortgage”) on certain properties belonging to the borrower at __. .