Are electronic signatures valid?

Yes. Under the ESIGN Act (15 U.S.C. §7001) and UETA in most states, electronic signatures are legally equivalent to handwritten signatures when intent, consent, attribution, and record retention requirements are met.

Do I need a notary or witnesses?

Notarization depends on state law and the nature of the charged asset. Some states or recording offices require notarization; certain deeds or transfers may also need witnesses.

What happens if names don’t match?

Mismatched entity or individual names often cause filing rejection or priority challenges. Use the exact legal name from formation papers and attach an explanatory affidavit if necessary.

How do I amend a recorded charge?

File an amendment or termination instrument with the same recording office. Amendments should reference the original filing to preserve continuity and public notice.

How long must I keep records?

Retain originals through the active term plus federal minimums: IRS records 3 years (IRC §6501(a)); HIPAA-related records 6 years (45 CFR §164.530(j)).

Who is authorized to sign?

An authorized officer, manager, or other person with corporate authority must sign. Confirm authority in bylaws, operating agreement, or a corporate resolution.

Electronic Signature
Templates
Miscellaneous
Business Declaration of Charge

Business Declaration of Charge

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

Business Declaration of Charge

Date of Declaration:

Parties

Creditor (Secured Party) Creditor Address for Notices Debtor (Charged Party) Debtor Address for Notices

Recitals

WHEREAS, Creditor Name: has extended credit, financing, or other financial accommodation to Debtor Name: (the "Debtor") and the Debtor owes certain obligations to the Creditor (the "Obligations").

WHEREAS, the Debtor desires to grant and the Creditor desires to accept a charge and security interest in certain assets of the Debtor to secure the prompt payment and performance of the Obligations on the terms set forth herein.

Declaration of Charge

Secured Obligation Amount: $ Effective Date:

Type of Charge / Security Instrument Description of Charged Collateral

Priority or Ranking of Charge (if any):

Filing / Recording Details (if filed)

Scope of Work

Scope Description

Payment Terms

Secured Amount: $ Payment Schedule:

Detailed Payment Schedule / Milestones

Late Payment Fee or Interest Rate:

Term and Termination

Term Commencement Date: Term End Date:

Termination Notice Period (days):

Upon termination or default, Creditor may enforce remedies provided under the security instrument, including enforcement of this charge against the described collateral and recovery of costs reasonably incurred in collection or enforcement.

Confidentiality

The parties acknowledge that non-public information disclosed in connection with this Declaration of Charge is confidential. Each party shall protect such information with at least the same degree of care it uses to protect its own confidential information and shall not disclose it except as required by law or to enforce rights under this Declaration.

Governing Law

This Declaration of Charge shall be governed by and construed in accordance with the laws of the jurisdiction where the Creditor's principal place of business is located unless the parties specify otherwise: Governing Jurisdiction:

Entire Agreement

This Declaration of Charge, together with any security agreements, financing statements, schedules and attachments, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior agreements, understandings, negotiations and discussions, whether oral or written. No amendment shall be effective unless in writing and signed by both parties.

Notices

Notice to Creditor Notice to Debtor

Acknowledgment and Certification

The undersigned certify that they are duly authorized to execute this Declaration of Charge on behalf of the parties indicated and that the information and representations contained herein are true and complete to the best of their knowledge. The Debtor authorizes the Creditor to file financing statements or other documents necessary to perfect the security interest created by this Declaration of Charge.

Creditor Printed Name:

By:

Date:

Debtor Printed Name:

By:

Date:

What a Business Declaration of Charge Is

A Business Declaration of Charge is a formal written statement by a business identifying a financial charge, lien, or security interest placed on specified assets. It clarifies which party holds rights or claims against named property, records the scope of the charge, and establishes the effective date and priority. The document often accompanies financing or security filings and may be notarized or filed with a state filing office or recorded as a public notice to third parties.

Why this document matters for secured transactions

A clear Declaration of Charge protects priority rights, makes obligations transparent to third parties, and reduces disputes over asset ownership and enforcement.

Typical users and their roles

Organizations use this form to create documented notice of a charge; different stakeholders complete or sign it for legal and operational reasons.

Lenders and secured parties: prepare and record priority claims against collateral.
Borrowers and obligors: acknowledge terms and scope of the charge.
Legal or compliance teams: review wording, ensure enforceability, and manage filings.

The completed declaration supports filing, enforcement, and internal records for accounting and compliance teams.

Core parts every professional Declaration should include

A professional Business Declaration of Charge combines identity, asset detail, legal terms, and execution elements so the charge is enforceable, auditable, and clear to third parties.

Parties

Full legal names and contact details for the charging party and the charged business, including business type and jurisdiction of formation.

Charged Assets

A precise description of the assets subject to the charge using serial numbers, addresses, or inventory identifiers to avoid ambiguity.

Consideration

The underlying loan, obligation, or value exchanged that supports the charge, described in dollar terms or contract reference.

Priority Date

The effective date or filing date that establishes priority relative to other claims and liens on the same assets.

Security Terms

Rights and remedies on default, permitted dispositions, carve-outs, and conditions for release or amendment of the charge.

Execution

Signature blocks, dates, notary acknowledgment where required, and any witness lines needed for state-specific validation.

Required information at a glance

Debtor Name: Exact legal entity

Creditor Name: Exact legal entity

Asset Description: Precise identifiers

Charge Amount: Dollar amount

Effective Date: MM/DD/YYYY

Governing Law: State name

Step-by-step: complete and record a Declaration of Charge

Follow these sequential steps to draft, sign, and record the declaration correctly.

01

Prepare the draft: Populate all required fields and attach collateral schedules.
02

Confirm authority: Verify signatory is authorized to bind the entity.
03

Execute and notarize: Sign, date, and obtain a notary if state law requires.
04

File or record: Submit to the appropriate filing office and retain a certified copy.

Configure an online workflow for repeated filings

A standard digital workflow saves time when you issue multiple declarations or maintain template versions.

Field	Configuration
Template	Create reusable template with conditional fields
Authentication	Email, SMS code, or stronger methods
Notifications	Configure signer and CC reminders
Bulk Send	Enable for batch delivery when needed

Digital signing and technical needs

Electronic completion requires a platform that supports secure signatures, audit trails, and common file types.

Integrations: Salesforce, NetSuite, Google Workspace, Microsoft 365
File types: PDF, DOCX, HTML, XLSX
Security: TLS 1.2/1.3 and AES-256 encryption

Typical e-submission flow

Electronic completion follows a predictable sequence: prepare, assign fields, authenticate signers, and capture a final certificate.

Upload: Add the draft declaration to the platform
Place fields: Add signature, date, and text fields
Send to signers: Email or secure link for execution
Archive: Store signed PDF with audit trail

Typical timing and processing expectations

Processing timelines vary by jurisdiction and whether notarization or public recording is required.

Effective Date:

The date on the declaration determines priority and takes effect immediately when signed or filed

Recording Timeframe:

State filing offices typically process within 1–10 business days depending on method

Notice to Third Parties:

Third parties are bound by public record once the filing is accepted and posted

Amendments:

File amendments promptly to preserve priority and clarity

Retention:

Keep originals until at least the statute of limitations expires

Key milestones from draft to recorded charge

Track these numbered milestones to manage execution and recording efficiently.

01

Draft finalization

Complete wording and attach collateral schedule before signing

02

Execution by parties

All required signatures and dates are obtained

03

Notarization if required

Complete notarization and witness steps as law requires

04

Filing/recordation

Submit to the appropriate state filing office or registry

Common preparation mistakes to avoid

Ambiguous asset descriptions that permit competing interpretations and reduce enforceability.
Using trade or DBA names instead of the entity's exact legal formation name on records.
Unsigned or undated pages that create gaps in the execution chain and risk invalidation.
Failing to file amendments promptly after changes to collateral, parties, or payment terms.

Consequences of an incorrect or incomplete declaration

Loss of Priority: Later-filed claims may take precedence

Enforcement Delay: Courts may require clarification or re-filing

Filing Rejection: Incorrect names or formats can cause rejection

Contract Disputes: Ambiguity can spark litigation

Increased Costs: Attorney fees and re-filing expenses

Invalidation Risk: Missing notarization may render it ineffective

eSignature vendor comparison for processing Declarations of Charge

Basic plan comparisons and compliance capabilities to consider when choosing an eSignature provider; signNow is listed first per vendor ordering rules.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial, no credit card	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Bulk Send	Yes	Varies	Varies	Varies	Varies
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies by plan	Varies by plan	Varies by plan

Real-world examples from similar filings

These brief arcs show how organizations use a Declaration of Charge in practice and the practical benefits achieved.

Optica Ventures

Optica documented security interests for multiple investors to prevent priority disputes.

COO Brian Fitzgibbons emphasized straightforward team and client use.
The clear declarations reduced follow-up questions and supported faster funding draws while keeping public records consistent with internal ledgers.

Martin Properties

A real estate operator recorded charges against acquired properties to preserve lender priority.

Founder Tim Martin noted improved compliance and mobile signing.
Completing and recording declarations online allowed the company to close financing cycles faster and reduced delays from in-person execution.

Frequently asked questions about Declarations of Charge

Answers to common questions about validity, notarization, amendments, storage, and signer authority.

Need help? Contact support

Are electronic signatures valid?
Yes. Under the ESIGN Act (15 U.S.C. §7001) and UETA in most states, electronic signatures are legally equivalent to handwritten signatures when intent, consent, attribution, and record retention requirements are met.
Do I need a notary or witnesses?
Notarization depends on state law and the nature of the charged asset. Some states or recording offices require notarization; certain deeds or transfers may also need witnesses.
What happens if names don’t match?
Mismatched entity or individual names often cause filing rejection or priority challenges. Use the exact legal name from formation papers and attach an explanatory affidavit if necessary.
How do I amend a recorded charge?
File an amendment or termination instrument with the same recording office. Amendments should reference the original filing to preserve continuity and public notice.
How long must I keep records?
Retain originals through the active term plus federal minimums: IRS records 3 years (IRC §6501(a)); HIPAA-related records 6 years (45 CFR §164.530(j)).
Who is authorized to sign?
An authorized officer, manager, or other person with corporate authority must sign. Confirm authority in bylaws, operating agreement, or a corporate resolution.

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