Financial

Equipment Financing Agreement

Asset-based lending contract for equipment purchase financing, covering equipment specifications, financing terms, security interests, insurance requirements, and default remedies for business equipment acquisition.

Key Clauses

1

Equipment Description

Identifies the financed equipment with specifications and serial numbers.

2

Financing Terms

Specifies loan amount, interest rate, term length, and payment schedule.

3

Security Interest

Grants the lender a security interest in the equipment until full payment.

4

Insurance Requirements

Requires the borrower to maintain adequate insurance on the equipment.

5

Default and Remedies

Defines events of default and the lender's remedies including repossession.

Use This Template

When You Need This

  • Purchasing expensive business equipment through a financing arrangement
  • A lender providing equipment financing to a business borrower
  • Documenting security interests in financed equipment for UCC filings
  • Structuring payment plans for heavy machinery or technology purchases