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1. Parties: Identifies and provides full details of the lender and borrower
2. Background: Explains the context of the loan and confirms the borrower's request for financial accommodation
3. Definitions: Defines key terms used throughout the agreement
4. Loan Amount and Purpose: Specifies the principal amount of the loan and its intended use
5. Interest Rate and Calculations: Details the interest rate, calculation method, and effective interest rate as required by Hong Kong law
6. Repayment Terms: Specifies the repayment schedule, payment methods, and consequences of early or late payment
7. Security and Collateral: Describes the collateral provided, including its valuation and maintenance requirements
8. Representations and Warranties: Contains statements of fact and assurances from the borrower
9. Borrower's Covenants: Lists ongoing obligations of the borrower during the loan term
10. Events of Default: Defines circumstances that constitute default and the lender's remedies
11. Enforcement Rights: Details the lender's rights regarding the collateral in case of default
12. Costs and Expenses: Allocates responsibility for fees, charges, and enforcement costs
13. Notices: Specifies how formal communications between parties should be made
14. General Provisions: Contains standard boilerplate clauses including governing law, entire agreement, and amendments
1. Guarantor Provisions: Required when a third party guarantor is providing additional security for the loan
2. Insurance Requirements: Needed when insurance of the collateral is required as part of the security arrangement
3. Multiple Borrowers: Required when there are joint borrowers, defining joint and several liability
4. Cross-Default: Include when the borrower has other loans with the lender or related entities
5. Additional Security Documents: Required when multiple forms of security are provided
6. Foreign Currency Provisions: Needed when the loan or repayments involve foreign currency
7. Assignment and Transfer: Include if the lender wants the right to assign or transfer the loan
8. Subordination: Required when the loan needs to be subordinated to other debts
1. Schedule 1 - Loan Details: Contains specific loan terms including amount, interest rate, and repayment schedule
2. Schedule 2 - Collateral Description: Detailed description and documentation of the collateral
3. Schedule 3 - Repayment Schedule: Detailed amortization table showing payment dates and amounts
4. Schedule 4 - Form of Drawdown Notice: Standard form for requesting disbursement of the loan
5. Schedule 5 - Security Documents: List and copies of additional security documents
6. Appendix A - Required Insurance: Details of required insurance coverage for the collateral
7. Appendix B - Fees and Charges: Comprehensive list of all applicable fees and charges
8. Appendix C - Signing Authorities: Documentation of authorized signatories and signing requirements
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