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Purchase Order Financing Agreement
"Need a Purchase Order Financing Agreement for my manufacturing company to obtain financing against a $2M purchase order from a major retail chain, with monthly repayment terms and standard security provisions under Singapore law."
1. Parties: Identification of the financing party and the recipient business
2. Background: Context of the financing arrangement and relationship between parties
3. Definitions: Key terms used throughout the agreement
4. Facility Terms: Core financing terms including amount, interest, and repayment
5. Security Arrangements: Details of collateral and security provided
6. Representations and Warranties: Statements of fact and assurances from both parties
7. Covenants: Ongoing obligations of the parties
8. Events of Default: Circumstances constituting default and consequences
1. Insurance Requirements: Specific insurance coverage requirements for large purchase orders or high-value goods
2. Third Party Rights: Rights of purchase order issuer or other stakeholders when they have direct interests in the financing arrangement
3. Foreign Currency Provisions: Currency conversion and exchange rate provisions for international trade scenarios
1. Schedule of Purchase Orders: List of purchase orders being financed
2. Fee Schedule: Detailed breakdown of all fees and charges
3. Form of Drawdown Notice: Template for requesting funds under the facility
4. Security Documents: Copies of security agreements and related documentation
5. Conditions Precedent Checklist: List of requirements to be met before facility becomes effective
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