Orange County NC Website
Browse       Search
Attachment C <br />15 <br />Draft of March 8, 2000 <br />THIS LOAN AGREEMENT is dated as of March , 2000 (the "Agreement"), <br />and is by and among ORANGE COUNTY SMALL BUSINESS LOAN PROGRAM <br />COMPANY, a North Cazolina nonprofit corporation (the "Company"), ORANGE <br />COUNTY, NORTH CAROLINA, a North Carolina political subdivision (the <br />"County"), and the national banking associations and North Carolina banking <br />corporations (the "Banks") listed on Schedule 1. <br />WHEREAS: The County has determined that it is appropriate and desirable for <br />the County to stimulate the creation of good jobs for Orange County citizens as well as to <br />stimulate successful business development and expansion in Orange County. To that end, <br />the County has created the Company to serve as a lender to qualifying small businesses. <br />The County and the Company have requested that the Banks provide loans to the <br />Company to provide funds for the Company to make small business loans, and the Banks <br />are willing to do so upon the terms and conditions of this Agreement. <br />NOW, THEREFORE, in consideration of the mutual promises contained in this <br />Agreement and for other good and valuable consideration, the parties agree as follows: <br />SECTION 1 <br />B~n1~Commitments To Make Advances for Loans <br />1.1. ~:o~mi~ment To Make,.,~dvanc~r Subject to the terms -and <br />conditions of this Agreement each Bank severally (and not jointly) commits (a) to make <br />Advances to the Company from time to time during the Commitment Period in an <br />aggregate amount not to exceed its Loan Commitment and (b) to share in Loan Losses. <br />The Company shall not be entitled to reborrow funds that it has repaid or prepaid, and <br />upon each Borrowing, each Bank's Loan Commitment. shall be permanently reduced by <br />the amount of such Bank's Advance included in such Borrowing. <br />1.2. e e (a) Each Bank shall be obliged <br />to make its initial Advance upon its receipt of the following: <br />(i) A duly executed Note, substantially in the form of Exhibit A, payable to the <br />order of that Bank; <br />(ii) A duly executed Security Agreement, substantially in the form of Exhibit <br />