This form is a type of asset-financing arrangement in which a company uses its receivables (money owed by customers) as collateral in a financing agreement. The company receives an amount that is equal to a reduced value of the receivables pledged. The age of the receivables have a large effect on the amount a company will receive. The older the receivables, the less the company can expect.
This type of financing helps companies free up capital that is stuck in accounts receivables. Accounts receivable financing transfers the default risk associated with the accounts receivables to the financing company. This transfer of risk can help the company using the financing to shift focus from trying to collect receivables to current business activities.
This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
Phoenix, Arizona Financing Agreement between Dealer and Credit Corporation for Wholesale Financing with Security interest in Accounts and General Intangibles is a legally binding contract that establishes the terms and conditions for financing arrangements between a dealer, typically an automobile dealer, and a credit corporation. This agreement outlines the specific terms of the wholesale financing, including the establishment of a security interest in accounts and general intangibles. The main objective of this type of financing agreement is to provide dealers with the necessary capital to purchase inventory for their dealership. By securing this financing, dealers can acquire a wide range of assets such as vehicles or equipment, which they can subsequently sell to customers. In this financing agreement, the credit corporation acts as the lender and the dealer are the borrower. The agreement lays out the repayment terms, interest rates, and any additional fees or charges applicable. It also establishes the time duration for the financing, often referred to as the term. The Financing Agreement between Dealer and Credit Corporation for Wholesale Financing with Security interest in Accounts and General Intangibles includes provisions to protect the interests of both parties involved. It specifies the security interest in accounts and general intangibles, which serves as collateral for the loan. This means that the credit corporation has a legal claim over the specified assets in case of default or non-payment by the dealer. There may be different types of financing agreements within the Phoenix, Arizona area, including variations in the specific terms and conditions. Some common types include: 1. Retail Financing Agreement: This type of agreement outlines the financing arrangement between a dealer and a credit corporation for retail customers. It defines the terms and conditions of the financing provided to individual customers purchasing goods from the dealer. 2. Floor Plan Financing Agreement: A floor plan financing agreement is specific to the automotive industry and is used to finance the inventory of vehicles held by the dealer. It enables dealers to continuously replace sold vehicles with new ones, ensuring a diverse and up-to-date inventory. 3. Equipment Financing Agreement: In this type of agreement, the financing is specifically aimed at assisting dealers in acquiring equipment necessary for their business operations. It allows dealers to acquire essential machinery, tools, or technology through financing, rather than making an upfront purchase. These are just a few examples of the different types of financing agreements that may exist in Phoenix, Arizona. Each agreement will have its own unique terms and conditions, depending on the specific needs and requirements of the dealer and credit corporation involved.Phoenix, Arizona Financing Agreement between Dealer and Credit Corporation for Wholesale Financing with Security interest in Accounts and General Intangibles is a legally binding contract that establishes the terms and conditions for financing arrangements between a dealer, typically an automobile dealer, and a credit corporation. This agreement outlines the specific terms of the wholesale financing, including the establishment of a security interest in accounts and general intangibles. The main objective of this type of financing agreement is to provide dealers with the necessary capital to purchase inventory for their dealership. By securing this financing, dealers can acquire a wide range of assets such as vehicles or equipment, which they can subsequently sell to customers. In this financing agreement, the credit corporation acts as the lender and the dealer are the borrower. The agreement lays out the repayment terms, interest rates, and any additional fees or charges applicable. It also establishes the time duration for the financing, often referred to as the term. The Financing Agreement between Dealer and Credit Corporation for Wholesale Financing with Security interest in Accounts and General Intangibles includes provisions to protect the interests of both parties involved. It specifies the security interest in accounts and general intangibles, which serves as collateral for the loan. This means that the credit corporation has a legal claim over the specified assets in case of default or non-payment by the dealer. There may be different types of financing agreements within the Phoenix, Arizona area, including variations in the specific terms and conditions. Some common types include: 1. Retail Financing Agreement: This type of agreement outlines the financing arrangement between a dealer and a credit corporation for retail customers. It defines the terms and conditions of the financing provided to individual customers purchasing goods from the dealer. 2. Floor Plan Financing Agreement: A floor plan financing agreement is specific to the automotive industry and is used to finance the inventory of vehicles held by the dealer. It enables dealers to continuously replace sold vehicles with new ones, ensuring a diverse and up-to-date inventory. 3. Equipment Financing Agreement: In this type of agreement, the financing is specifically aimed at assisting dealers in acquiring equipment necessary for their business operations. It allows dealers to acquire essential machinery, tools, or technology through financing, rather than making an upfront purchase. These are just a few examples of the different types of financing agreements that may exist in Phoenix, Arizona. Each agreement will have its own unique terms and conditions, depending on the specific needs and requirements of the dealer and credit corporation involved.
