Revenue Loan Agreement Template for Qatar

The Revenue Loan Agreement is a specialized financing instrument used when traditional fixed-payment loans may not suit a company's cash flow pattern. This document type is particularly relevant for businesses in Qatar seeking alternative financing structures where repayment fluctuates with revenue performance. The agreement must comply with Qatar's legal framework, including Law No. 27 of 2006 (Commercial Code) and Law No. 13 of 2012 (Qatar Central Bank Law), while potentially incorporating Sharia-compliant elements. The Revenue Loan Agreement typically includes detailed mechanisms for revenue calculation, payment procedures, monitoring rights, reporting requirements, and protective covenants for both parties. It's commonly used for growth-stage companies, seasonal businesses, or enterprises with variable but predictable revenue streams operating within Qatar's jurisdiction.

1. Parties: Identification of the Lender and Borrower with full legal names and registration details

2. Background: Context of the agreement, business relationship, and purpose of the revenue loan

3. Definitions and Interpretation: Detailed definitions of terms used throughout the agreement, including specific revenue-related terms and calculation methods

4. The Loan: Core terms of the loan including amount, purpose, and disbursement conditions

5. Revenue Share Mechanism: Detailed provisions regarding how revenue will be calculated, shared, and paid

6. Payment Terms: Payment schedules, calculation periods, payment methods, and revenue share calculations

7. Conditions Precedent: Prerequisites that must be satisfied before the loan becomes effective

8. Borrower's Representations and Warranties: Standard and revenue-specific representations regarding the business and its operations

9. Borrower's Covenants: Positive and negative obligations of the borrower, including revenue reporting and business operation requirements

10. Information Undertakings: Requirements for financial reporting, revenue reporting, and other information provisions

11. Events of Default: Circumstances constituting default and consequences thereof

12. Enforcement and Remedies: Lender's rights and remedies upon default

13. Changes to Parties: Provisions regarding assignment and transfer rights

14. Governing Law and Jurisdiction: Qatar law provisions and jurisdiction clauses

15. Boilerplate Provisions: Standard clauses including notices, amendments, severability, etc.