A Shareholder Loan Agreement is agreement signed between two parties a borrower and a lender. The borrowings are made for investment in equity purposes. The agreement records all the terms and conditions which bounds the parties legally. It specifies all the required entailing in such arrangements for smooth operation of the deal.
Sample Shareholder Loan Agreement
This agreement is made between CLIENT and the BANK on the effective date of 1st April 2011
The BANK agrees to grant the CLIENT a loan for investment purpose in the equity of his choice. The Bank has gone through the proposal and is satisfied.
Details of the CLIENT
Name: Mr. James Thomas
Address: 5- B, 11th Floor, Hilton Tower, LA
Contact number: 49839282764
Details of the BANK
Name: Goliath National Bank, LA Branch
Address of bank: Plot no. 4, King Luther Road, LA
Name of bank officer: Mr. Anthony Ferrera
Contact number: 49489483401
Details of the loan:
Amount: $ 30000
Date of Payment of first installment: 1st Feb 2012
Payment date of last Installment: 1st April 2013
Terms and conditions to be followed by both parties:
The bank has agreed to grant the loan against the personal property of the individual, any violation in the agreement will result in confiscation of same.
The loan is to be paid back in pre- decided instalments, amounts and dates. In case of violation the bank has power to take suitable action.
The interest been decided is to be complied with.
The full repayment of loan should not be delayed than the date mentioned.
The bank cannot demand any amount exceeding what is due on any date from the client.