| name | commitment-letter-for-financing |
| title | Commitment Letter for Financing |
| description | Drafts a U.S. financing commitment letter memorializing a lender's binding agreement to fund under specified economic terms, conditions precedent, and fees. Covers commercial real estate acquisition, construction, business expansion, and general commercial lending. Use when drafting loan commitment letters, lender commitment letters, financing commitments, or pre-closing funding commitments. |
| author | CaseMark |
| author_url | https://github.com/CaseMark/skills/tree/main/skills/legal/commitment-letter-for-financing |
| license | Apache-2.0 |
| version | 0.1.0 |
| execution_mode | open |
| jurisdiction | us |
| practice | finance |
| language | en |
| tags | ["drafting","letter","transactional"] |
Commitment Letter for Financing
Drafts a lender's commitment letter bridging preliminary negotiations and final loan documentation, with binding economic terms and enumerated conditions precedent to funding.
Prerequisites
- Party details — legal names, entity types, jurisdictions, principal addresses for lender, borrower, guarantors, and co-borrowers
- Loan economics — commitment amount, interest rate structure (fixed/variable, index, margin), term, amortization, balloon provisions, fee schedule
- Transaction type — CRE acquisition, construction, business expansion, or other (drives collateral and condition requirements)
- Collateral description — asset type, estimated value, location/identification, existing liens
- Proposed closing date — for commitment expiration and funding timeline
Output Structure
1. Header & Parties
- Commitment date and lender letterhead placeholder
- Full legal names, entity types, jurisdictions for all obligated parties
- Binding vs. non-binding designation — specify which provisions survive regardless of overall character
2. Financial Terms
| Term | Detail |
|---|
| Commitment Amount | Fixed sum or maximum; note if multiple disbursements |
| Interest Rate | Fixed or variable; index (SOFR/Prime) + margin; floor if applicable |
| Loan Term | Maturity date; amortization period; balloon amount/date |
| Repayment | Frequency; P&I or interest-only period(s) |
| Use of Proceeds | Stated purpose; deployment restrictions |
| Fees | Commitment (refundable/non-refundable), origination, unused line, prepayment penalty/yield maintenance |
| Funding Date(s) | Anticipated date; multi-draw schedule if applicable |
3. Conditions Precedent to Funding
Due Diligence & Valuation
