Shareholder loan agreement
This agreement is made on 1 March 2030 between Brightwater Bakery Ltd, 14 Harbour Street, Cork, company number 123456 (the "Company") and Maria Silva of 3 Elm Road, Cork, who holds 40 percent of the shares (the "Shareholder").
1. The loan
The Shareholder lends the Company EUR 50,000 (the "Loan"). The money is paid on 1 March 2030.
Purpose: To buy a new oven and pay for fitting it.
2. Interest
4 percent a year, paid every 6 months
3. Repayment
Repaid in 20 equal payments every 3 months, starting 1 September 2030, with the final payment on 1 June 2035.
4. Early repayment
The company may repay early without a fee, in whole or in part.
5. Security and ranking
The loan is unsecured. It is repaid after the company's bank loans if the company is wound up.
The Shareholder agrees that this loan is repaid only after the Company has paid its bank loans, and will sign any further paper the bank reasonably asks for to confirm this.
6. Conditions on repayment
The company does not repay if that would leave it unable to pay its debts as they fall due.
7. If the Company does not pay
If a payment is more than 30 days late, the shareholder may give written notice and ask for the whole loan to be repaid within 30 days.
8. Tax
Before paying interest, the Company will check whether tax must be withheld where it or the Shareholder is based, and will deduct it if it must. The parties have taken tax advice on this loan and its interest rate.
9. Approval
The board approved this loan at its meeting on 25 February 2030
10. Set-off and assignment
The Company may not set off any money the Shareholder owes it against the Loan unless the Shareholder agrees in writing. Neither party may transfer its rights or duties under this agreement without the written consent of the other.
11. No change to rights as shareholder
The loan does not change the Shareholder's shares or votes, and the Shareholder gets no extra say in running the Company because of it.
12. Changes and notices
Changes are valid only in writing, signed by both parties. Notices are given in writing to the addresses above.
13. Law and disputes
This agreement is governed by the law of Ireland. The parties talk first, then mediation, then the courts of the place named above.
14. Signatures
For the Company:
Name and title:
Signature:
Date:
The Shareholder:
Signature:
Date: