| name | revolving-credit-agreement |
| title | Revolving Credit Agreement |
| description | Drafts a market-standard U.S. revolving credit agreement for bilateral or syndicated facilities. Covers facility structure, SOFR/base rate interest, borrowing base, LC sublimits, collateral, guarantees, covenants, conditions precedent, events of default, and remedies. Use when drafting or negotiating revolving credit facilities, asset-based lending agreements, or syndicated loan documents. |
| author | CaseMark |
| author_url | https://github.com/CaseMark/skills/tree/main/skills/legal/revolving-credit-agreement |
| license | Apache-2.0 |
| version | 0.1.0 |
| execution_mode | open |
| jurisdiction | us |
| practice | finance |
| language | en |
Revolving Credit Agreement
Generates a complete revolving credit agreement for U.S. commercial lending. Supports bilateral and syndicated structures with asset-based or cash-flow underwriting.
Prerequisites
Gather before drafting:
- Parties — legal names, states of organization; for syndicated deals: each lender's commitment and administrative agent identity
- Facility economics — commitment amount, maturity, applicable margins (SOFR spread, base rate spread), unused fee rate
- Collateral — asset types, borrowing base methodology (if ABL), advance rates for eligible A/R and inventory
- Guarantors — legal names, scope (unconditional/absolute vs. limited)
- Financial covenant targets — FCCR threshold, leverage cap, testing frequency
- Permitted baskets — indebtedness, investments, restricted payments, asset sale thresholds
Document Structure
Draft the following sections in order:
1. Header & Parties
- Execution date, legal names, states of organization
- Syndicated: agent designation, lender commitment schedule
- Recitals (transaction context, refinancing purpose)
- Core defined terms: Agreement, Borrower, Lender, Obligations
2. Credit Facility
| Element | Key Points |
|---|
| Revolving Commitment | Amount in figures and words |
| Availability Period | Closing → Maturity; early termination triggers |
| LC Sublimit | Max face amount; reduces revolving availability dollar-for-dollar |
| Borrowing Base | Advance rates vs. eligible A/R/inventory; BB certificate schedule |
| Commitment Reductions | Voluntary (borrower) and mandatory (specified events) |
3. Borrowing Mechanics
| Loan Type | Notice | Lead Time |
|---|
| Base Rate | 11:00 a.m. | Same day |
| SOFR (1M/3M/6M) | 11:00 a.m. | 2–3 business days |
Borrowing notice must specify: amount, funding date, rate option, interest period (SOFR only). Each request is a deemed rep that all conditions precedent remain satisfied.
4. Interest, Fees & Payments
