LOAN AGREEMENT This Loan Agreement (“Agreement”) is made and entered into as of July 22, 2019, by and between: Lender(s): Diane and Daniel Ruegg Address: Borrower: OFF THE HOOK YACHT SALES NC LLC Address: 1701 Jel Wade Drive, Wilmington, NC 28409
Exhibit 10.12
This Loan Agreement (“Agreement”) is made and entered into as of July 22, 2019, by and between:
▇▇▇▇▇▇(s): ▇▇▇▇▇ and ▇▇▇▇▇▇ ▇▇▇▇▇
Address:
Borrower: OFF THE HOOK YACHT SALES NC LLC
Address: ▇▇▇▇ ▇▇▇ ▇▇▇▇ ▇▇▇▇▇, ▇▇▇▇▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇
1. Loan Amount
The Lender agrees to loan the Borrower the principal sum of One Million One Hundred Fifty-One Thousand Twenty-Six Dollars ($1,151,026) (the “Loan”).
2. Interest Rate and Payments
The Loan shall bear interest at a fixed annual rate of 8.0%, calculated on a 365-day year. Interest shall be paid monthly, in arrears, on the first day of each month, beginning August 1, 2019.
Monthly interest payment: $7,673.51 (Calculated as $1,151,026 × 0.08 ÷ 12)
3. Term and Repayment of Principal
The term of the Loan is twenty-four (84) months, with a maturity date of August 1, 2026. This is an interest-only loan, and the Borrower shall:
- Make monthly interest payments of $7,673.51; and
- Pay the full outstanding principal balance of $1,151,026 in one lump sum on or before the maturity date.
4. Prepayment
Borrower may prepay all or any portion of the Loan at any time without premium or penalty. Prepayments shall first be applied to any unpaid interest, then to principal.
5. Use of Funds
The Borrower agrees to use the Loan proceeds for lawful business purposes, including but not limited to general working capital.
6. Default and Remedies
If the Borrower fails to make any scheduled payment within 10 days of its due date, or otherwise materially breaches this Agreement, the Lender may declare the full amount of principal and accrued interest immediately due and payable. Upon default, interest shall continue to accrue at the rate set forth in this Agreement until repayment is made in full.
7. Governing Law
This Agreement shall be governed by and interpreted under the laws of the State of North Carolina, without regard to its conflict of law principles.
8. Entire Agreement
This Agreement constitutes the entire understanding between the parties and supersedes all prior or contemporaneous communications, whether oral or written.
9. Amendments
This Agreement may only be amended in writing, signed by both parties.
10. Signatures
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.
LENDER:
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BORROWER:
OFF THE HOOK YACHT SALES NC LLC
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| Title: | President | |
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