Document background
The Vendor Finance Agreement is a specialized financing arrangement used when a vendor wishes to facilitate the sale of its products or assets by providing direct financing to the purchaser. This document, governed by Hong Kong law, combines elements of both a sale agreement and a financing agreement, making it particularly useful for high-value equipment or asset sales where traditional bank financing might be less suitable or available. The agreement needs to comply with Hong Kong's Money Lenders Ordinance and related financial regulations, while also addressing security interests, registration requirements, and enforcement mechanisms. It typically includes detailed schedules for assets, payment terms, and security arrangements, making it suitable for complex commercial transactions where the vendor takes on the role of both seller and financier.
