Shareholder Loan Agreement

{{company_name}}

{{company_address}}

Phone: {{phone}} | Email: {{email}} | Web: {{website}}

Shareholder Loan Agreement

Shareholder Loan Agreement

{{company_name}}

{{company_address}}

{{phone}}

{{email}}

{{website}}

SHAREHOLDER LOAN AGREEMENT

This Shareholder Loan Agreement (hereinafter referred to as the 'Agreement') is made and entered into on this {{day}} day of {{month}}, {{year}}

BETWEEN:

{{company_name}}, a company duly incorporated and registered in accordance with the laws of {{country}}, with registration number {{company_registration_number}} and having its registered office at {{company_address}} (hereinafter referred to as the 'Borrower');

AND

{{shareholder_name}}, an individual residing at {{shareholder_address}} / a company duly incorporated and registered in accordance with the laws of {{country}}, with registration number {{shareholder_registration_number}} and having its registered office at {{shareholder_address}} (hereinafter referred to as the 'Lender' or 'Shareholder').

WHEREAS, the Lender is a shareholder of the Borrower and has agreed to advance a loan to the Borrower on the terms and conditions hereinafter appearing.

1. LOAN AMOUNT AND PURPOSE

1.1. The Lender hereby agrees to lend to the Borrower the principal sum of {{loan_amount}} ({{loan_amount_words}}) (hereinafter referred to as the 'Loan').

1.2. The purpose of the Loan is for {{purpose_of_loan}}.

2. INTEREST

2.1. The Loan shall bear interest at a rate of {{interest_rate}}% per annum, calculated on the outstanding principal balance.

2.2. Interest shall be calculated {{interest_calculation_frequency}} and shall be payable {{interest_payment_frequency}}.

3. REPAYMENT

3.1. The Borrower shall repay the principal amount of the Loan, together with all accrued interest, on or before {{repayment_date}}.

3.2. Repayment shall be made in {{number_of_installments}} equal installments of {{installment_amount}} each, commencing on {{first_installment_date}} and continuing on the {{payment_day}} of each succeeding {{payment_frequency}} until the Loan is fully repaid.

3.3. The Borrower may, at its option, repay the Loan in whole or in part prior to the repayment date without penalty.

4. CONDITIONS PRECEDENT

4.1. The obligation of the Lender to advance the Loan is conditional upon the fulfillment of the following conditions precedent:

(a) The Borrower providing the Lender with a certified copy of the resolution of its board of directors authorising the Loan.

(b) {{other_conditions_precedent}}

5. REPRESENTATIONS AND WARRANTIES

5.1. The Borrower represents and warrants to the Lender that:

(a) It is duly incorporated and validly existing under the laws of {{country}}.

(b) It has the corporate power and authority to enter into and perform its obligations under this Agreement.

(c) This Agreement constitutes its legal, valid and binding obligation.

(d) There are no legal actions, suits or proceedings pending or threatened against the Borrower which might materially affect its ability to perform its obligations under this Agreement.

6. EVENTS OF DEFAULT

6.1. The occurrence of any of the following events shall constitute an event of default (hereinafter referred to as an 'Event of Default'):

(a) Failure by the Borrower to pay any amount due under this Agreement on the due date.

(b) Breach by the Borrower of any other term or condition of this Agreement.

(c) Any representation or warranty made by the Borrower in this Agreement proving to be untrue or misleading in any material respect.

(d) The Borrower becoming insolvent or entering into any compromise or arrangement with its creditors.

(e) {{other_events_of_default}}

7. CONSEQUENCES OF DEFAULT

7.1. Upon the occurrence of an Event of Default, the Lender may, at its option, declare the entire outstanding principal amount of the Loan, together with all accrued interest and any other amounts due, to be immediately due and payable without presentment, demand, protest or notice of any kind.

7.2. The Lender shall have all rights and remedies available at law or in equity.

8. GOVERNING LAW AND JURISDICTION

8.1. This Agreement shall be governed by and construed in accordance with the laws of {{country}}.

8.2. The parties hereby consent to the non-exclusive jurisdiction of the courts of {{country}} for the purpose of resolving any dispute arising out of or in connection with this Agreement.

9. ENTIRE AGREEMENT

9.1. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior agreements, understandings, negotiations and discussions, whether oral or written, between the parties.

SIGNATURES

THUS DONE AND SIGNED at {{place_of_signing}} on this {{day}} day of {{month}}, {{year}}.

_____________________________

For: {{company_name}} (Borrower)

Name: {{borrower_signer_name}}

Designation: {{borrower_signer_designation}}

_____________________________

For: {{shareholder_name}} (Lender)

Name: {{lender_signer_name}}

Designation: {{lender_signer_designation}} (if applicable)