26 Best Third Party Financing Addendum Templates

1. Define scope and terms Clearly outline which third party will provide financing, the amount, interest rate, repayment schedule, and any security interests. Include triggers for default, remedies, and notice procedures to avoid ambiguity during later disputes.

2. Align with the main agreement Ensure the addendum mirrors and complements the primary contract’s terms, including precedence, effective date, and what happens if financing is not obtained or falls through. Include provisions for amendments and the impact on deadlines or performance obligations.

3. Compliance and disclosures Require written consent if needed, disclose lender details, and address confidentiality and lien perfection. Specify applicable law, notice requirements, and how lien filings or other security interests will be handled to protect all parties.