Borrowing Resolution for a Corporation

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Shared by: Michael Baum
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Borrowing Resolution A special meeting of the Board of Directors of was held on , at , , pursuant to, and, upon a motion made regularly and in proper order, and seconded, the Board of Directors of , agreed: That the corporation shall borrow the original principal sum of $ ( & /100 dollars) from the shareholders, and , under such terms and conditions, including the pledging of collateral for the loan, and the opening or maintaining of deposit accounts, and such other terms as may be needful or required. That the promissory notes, and any other certifications of indebtedness as well as any other warranties, bonds, indentures, and other agreements which may be required by the shareholders, may be signed on behalf of the corporation by its President, By: _________________________________ Secretary of Corporation _____________________________________ President Dated: Promissory Note _____ $ , referred to herein as “MAKER”, agrees to pay to the order of , referred to herein as “HOLDER(s)”, the sum of $___________, _____________&___/100 Dollars), at their established place of residence in Florida with interest thereon at rate of ___% per annum, simple interest. The principal amount of the note shall be loaned to the corporation in installments as determined necessary for corporate expenses approved by the Board of Directors. Said note shall be payable on demand until the principal balance and accrued interest are fully paid-off, unless changed by mutual agreement between the parties. All payments received shall be credited first to interest and then to principal. Should MAKER fail to pay any installment when due, then HOLDER shall have the option to accelerate the payment of the full principal sum and accrued interest payable. HOLDER shall have the right for commercially reasonable causes, including but not limited to, the institution of litigation, the filing of tax liens, or any other objective sign of incapacity of the MAKER to pay the principal or interest due, to accelerate the payment of the full principal sum and accrued interest payable. This note is payable in U.S. Dollars. At any time the maximum rate of interest applicable to this transaction shall not exceed the legal maximum rate of interest for a note of this type. Any sums paid in excess of any lawful limitation shall be applied to principal. After default herein, this note will bear interest at the highest legal rate for this type of note until paid in full. Upon any default, MAKER agrees to pay a reasonable attorney’s fee for any and all services of an attorney, whether in or out of court, and for appeal and post-judgment collection legal services. Dated: ____________________________________________

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