North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas

• Category: Corporations - Public - Credit
• State: Multi-State
• Control #: US-EG-9032
• Format: Word; Rich Text

Description

This is a multi-state form covering the subject matter of the title. Title: Exploring the North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas Keywords: North Dakota Credit Agreement, Southwest Royalties, Inc., Bank One Texas, types of North Dakota Credit Agreements Introduction: In the realm of financial agreements, the North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas holds significant weight. This comprehensive description will delve into the specifics of this agreement, discussing its purpose, components, and any potential variations or types that may exist. Overview of the North Dakota Credit Agreement: The North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas is a legally binding contract that outlines the terms and conditions under which Bank One Texas provides credit facilities to Southwest Royalties, Inc. This agreement enables Southwest Royalties, Inc. to obtain necessary funds, assisting with business operations, investments, expansion, or any other financial requirements. Key Components: 1. Parties involved: The agreement is established between Southwest Royalties, Inc. (the borrower) and Bank One Texas (the lender). 2. Purpose of the agreement: The agreement explicitly states the reason for borrowing funds, which could include asset acquisition, capital investment, working capital financing, or debt consolidation, among others. 3. Principal Amount: It specifies the maximum amount that Bank One Texas agrees to lend to Southwest Royalties, Inc. as credit. 4. Interest Rates and Payment Terms: The agreement outlines the interest rates charged on the principal amount and the repayment terms, including maturity dates, the frequency of interest payments, and provisions for early or late payments. 5. Collateral and Security: To secure the credit facility, Southwest Royalties, Inc. may pledge certain assets or provide guarantees to Bank One Texas, ensuring repayment in case of default. 6. Representations and Covenants: Both parties make specific representations and commitments to ensure compliance with the agreement's terms, such as financial reporting obligations, maintaining insurance coverage, and restrictions on additional debt or dividend payments. 7. Events of Default: The agreement defines situations that could lead to default, such as failure to make payment or breach of established covenants, and outlines the consequences and remedies available to both parties. Types of North Dakota Credit Agreements: While the North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas may have various implementations, several common types include: 1. Revolving Credit Agreement: This type of agreement allows Southwest Royalties, Inc. to borrow up to a specific credit limit, repay the borrowed amount, and re-borrow within the limit during the agreed-upon period, similar to a line of credit. 2. Term Loan Agreement: This agreement provides a lump sum loan to Southwest Royalties, Inc., which must be repaid over a set period, often with predetermined installments. 3. Acquisition Credit Agreement: If Southwest Royalties, Inc. intends to finance mergers, acquisitions, or other significant business transactions, this agreement can facilitate the necessary credit. Conclusion: The North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas serves as a critical financial tool for Southwest Royalties, Inc., enabling them to access credit and support their operational and growth needs. This agreement, with its various types such as revolving credit, term loan, and acquisition credit agreements, ensures a beneficial collaboration between the borrower and lender, fostering business development and economic growth.

Title: Exploring the North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas Keywords: North Dakota Credit Agreement, Southwest Royalties, Inc., Bank One Texas, types of North Dakota Credit Agreements Introduction: In the realm of financial agreements, the North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas holds significant weight. This comprehensive description will delve into the specifics of this agreement, discussing its purpose, components, and any potential variations or types that may exist. Overview of the North Dakota Credit Agreement: The North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas is a legally binding contract that outlines the terms and conditions under which Bank One Texas provides credit facilities to Southwest Royalties, Inc. This agreement enables Southwest Royalties, Inc. to obtain necessary funds, assisting with business operations, investments, expansion, or any other financial requirements. Key Components: 1. Parties involved: The agreement is established between Southwest Royalties, Inc. (the borrower) and Bank One Texas (the lender). 2. Purpose of the agreement: The agreement explicitly states the reason for borrowing funds, which could include asset acquisition, capital investment, working capital financing, or debt consolidation, among others. 3. Principal Amount: It specifies the maximum amount that Bank One Texas agrees to lend to Southwest Royalties, Inc. as credit. 4. Interest Rates and Payment Terms: The agreement outlines the interest rates charged on the principal amount and the repayment terms, including maturity dates, the frequency of interest payments, and provisions for early or late payments. 5. Collateral and Security: To secure the credit facility, Southwest Royalties, Inc. may pledge certain assets or provide guarantees to Bank One Texas, ensuring repayment in case of default. 6. Representations and Covenants: Both parties make specific representations and commitments to ensure compliance with the agreement's terms, such as financial reporting obligations, maintaining insurance coverage, and restrictions on additional debt or dividend payments. 7. Events of Default: The agreement defines situations that could lead to default, such as failure to make payment or breach of established covenants, and outlines the consequences and remedies available to both parties. Types of North Dakota Credit Agreements: While the North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas may have various implementations, several common types include: 1. Revolving Credit Agreement: This type of agreement allows Southwest Royalties, Inc. to borrow up to a specific credit limit, repay the borrowed amount, and re-borrow within the limit during the agreed-upon period, similar to a line of credit. 2. Term Loan Agreement: This agreement provides a lump sum loan to Southwest Royalties, Inc., which must be repaid over a set period, often with predetermined installments. 3. Acquisition Credit Agreement: If Southwest Royalties, Inc. intends to finance mergers, acquisitions, or other significant business transactions, this agreement can facilitate the necessary credit. Conclusion: The North Dakota Credit Agreement between Southwest Royalties, Inc. and Bank One Texas serves as a critical financial tool for Southwest Royalties, Inc., enabling them to access credit and support their operational and growth needs. This agreement, with its various types such as revolving credit, term loan, and acquisition credit agreements, ensures a beneficial collaboration between the borrower and lender, fostering business development and economic growth.