Document background
The Commercial Loan Term Sheet is a critical document used in Singapore's commercial lending landscape to establish the preliminary framework for a loan facility. It serves as a precursor to the full loan agreement and is typically issued after initial credit approval but before detailed documentation. The term sheet captures essential commercial and legal terms, including facility limits, pricing, security structure, and key conditions precedent. While non-binding except for specific provisions like confidentiality, it forms the basis for preparing definitive documentation and must align with Singapore's banking regulations and MAS guidelines.
