Document:

Exhibit
4.16

 

English
Translations for Reference

 

FORM
of LOAN AGREEMENT

 

This
Loan Agreement (this “Agreement”) is entered into by the following three parties as of __________.

 

Party
A: CISG Holdings Ltd., a limited liability company organized under the laws of British Virgin Islands.

 

Party
B: __________, a citizen of the People’s Republic of China, with Entrepreneurial Sales Team number _________.

 

Party
C: Fanhua Employees Holdings Limited, a limited liability company organized under the laws of British Virgin Islands.

 

Treasure
Chariot Limited, a limited liability company organized under the laws of British Virgin Islands.

 

 Or

 

Step
Tall Limited, a limited liability company organized under the laws of British Virgin Islands.

 

The
Company: Fanhua Inc. (“Fanhua” or the “Company”), a limited liability company organized under
the laws of the Cayman Islands, and listed on the NASDAQ Global Select Market (Nasdaq: FANH).

 

WHEREAS:

 

	1.	Party
                                         B is the full-time contracted entrepreneurial sales team leader who has passed the annual
                                         assessment by Party A or its subsidiaries in accordance with the Company’s entrepreneurial
                                         system, and promises Party A or its subsidiaries to achieve certain performance goals
                                         within the next five years from 2019 to 2023 (the “Performance Period”)

 

	2.	Party
                                         B intends to subscribe for_________ ordinary shares (the “Shares”)
                                         of Fanhua Inc. at a price of US$29.0 per American Depositary Receipt (“ADR”,
                                         one ADR representing 20 ordinary shares), for a total of US$______ (“Subscription
                                         Price”). Party B entrusts Party C to subscribe and hold the shares on his or
                                         her behalf;

 

	3.	To
                                         fund the share subscription, Party B desires to apply for a loan from Party A, and pledges
                                         the Shares, together with the interests generated by the sales team under Party B’s
                                         control and management as guarantees. Party B hereby authorizes Party C to implement
                                         the relevant provisions under this Agreement.

 

NOW
THEREFORE, after friendly negotiations, all parties hereby agree as follows for mutual observance:

 

	1.	Party
                                         B and Party C shall determine the following matters regarding the entrustment of the
                                         share subscription and the holding of the Shares.

 

		1.1	Party
                                         C subscribes, registers and holds the Shares in its own name, and participates in the
                                         corresponding activities of the Company as a shareholder of Fanhua Inc., and exercises
                                         the voting rights of the Shares;

 

		1.2	Party
                                         B is entitled to the beneficial economic benefits of the Shares, including dividends,
                                         interests and other related rights and interests. Party C shall transfer, handle and
                                         pay such beneficial economic benefits to Party B in accordance with the instructions
                                         given by Party B from time to time. Except with prior written consent of Party B, Party
                                         C shall not pledge the Shares or cause any other security interest to be created on the
                                         Shares, offer to transfer such Shares to any third party, make any commitment about the
                                         offer of any third party to acquire the shares, or execute any agreement to transfer
                                         the shares with any third party.

 

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	2.	Party
                                         A agrees to provide Party B with a loan in an aggregate principle amount of______, representing
                                         90% of the Subscription Price. The annual interest rate is 8% and the interests shall
                                         be calculated based on the actual borrowing period. Party A will directly transfer the
                                         loan to the account designated by Party C for the purpose of subscribing for the Shares
                                         under the instruction of Party B.

 

	3.	Party
                                         B agrees to accept the above loan and acknowledges that:

 

		3.1	Party
                                         B shall pledge the Shares and provide his or her other personal assets including but
                                         not limited to the interests of the entrepreneurial team under his or her control and
                                         management as guarantee to secure the loan under this Agreement, and authorize Party
                                         C to execute relevant provisions in accordance with the terms and conditions of this
                                         Agreement;

 

		3.2	During
                                         the loan period, all cash dividends derived from the Shares will be paid directly by
                                         Party C into the bank account designated by Party A for the purpose of repaying the interest
                                         and principal of the loan.

 

	4.	Based
on the above loans, Party B promises to achieve the following performance goals:

 

		4.1	From
                                         2019 to 2020, the entrepreneurial team under the control and management of Party B shall
                                         pass the annual assessment, and the growth rate of the life insurance business generated
                                         by the sales team in terms of annual premium equivalent (“APE”) shall not
                                         be less than 15%;

 

		4.2	In
                                         2021, the entrepreneurial team under the control and management of Party B shall pass
                                         the annual assessment and complete the sales target of RMB_____ in APE;

 

		4.3	In
                                         2022, the entrepreneurial team under the control and management of Party B shall pass
                                         the annual assessment, and the APE generated by his or her team will be no less than
                                         the performance target his or her team achieved in 2021;

 

		4.4	In
                                         2023, the entrepreneurial sales team under the control and management of Party B shall
                                         pass the annual assessment, and the APE generated by his or team will be no less than
                                         the performance target his or her team achieved in 2022.

 

	5.	Party
                                         B unconditionally agrees that:

 

		5.1	During
                                         the Performance Period, Party B shall not dispose of the Shares, including but not limited
                                         to sell the Shares on the open market or transfer to any individual(s) designated by
                                         Party A, without prior written consent by Party A.

 

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		5.2	If
                                         Party B’s performance in 2021 is less than 70% (excluding 70%) of the promised performance
                                         target, or his/her full-time contractual relationship with Party A or its subsidiaries
                                         is terminated during the Performance Period, Party C shall have the right to dispose
                                         of the Shares, by selling the Shares on the open market or transferring the Shares to
                                         any individual(s) designated by Party A under Party A’s instructions. The proceeds
                                         from the disposition of the Shares shall be used to repay the principal and interest
                                         of the loan in connection with the Shares under this Agreement. If the proceeds from
                                         the disposition of the Shares are insufficient to repay the principal and interest of
                                         the Loan under this Agreement in full, the loan shall be claimed in accordance with the
                                         manners specified in Article 11 of this Agreement; if there is any remaining amount after
                                         repaying the principal and interest of the Loan, the remaining proceeds shall be used
                                         in the following order: i) to repay Party B with his or her own capital contribution;
                                         ii) to pay Party B the interests on his or her own contribution at an interest rate of
                                         up to 8% per annum; and iii) to pay the remainder to Party A.

 

		5.3	If
                                         Party B’s performance in 2021 achieves 70% (including 70%) of the promised performance
                                         target but is below 100% (excluding 100%), and the performance he or she achieves in
                                         2022 and 2023 is no less than the same level in 2021, after the expiration of the Performance
                                         Period, Party B may instruct Party C to dispose of the Shares by selling the Shares on
                                         the open market or transfer the Shares to any individual(s) designated by Party A. The
                                         proceeds from the disposition of the Shares shall be used to repay the principal and
                                         interest of the loan first. If the proceeds of the disposal are insufficient to repay
                                         the principal and interest of the loan under this Agreement in full, payment of the loan
                                         shall be claimed in accordance with Article 11 of this Agreement. After paying off the
                                         loan principal and interest under this Agreement in full, the remaining amount of the
                                         proceeds shall be used in the following order: i) to repay Party B with its own capital
                                         contribution; ii) to pay Party B the interests on his or her own contribution at an interest
                                         rate of up to 8% per annum; iii) to pay Party B the amount calculated as 50% of the remaining
                                         proceeds after deducting i) and ii) multiplied by the percentage of the performance goals
                                         that he or she achieves; and vi)to pay the remainder to Party A. If Party B’s performance
                                         in 2021 achieves 70% (including 70%) of the promised performance targets and is below
                                         100% (excluding 100%), and the APE of life insurance products in 2022 or 2023 fails to
                                         maintain at least the same level as that in 2021, it shall be deemed failure to achieve
                                         performance goals and the disposition of the Shares and the repayment of the loan shall
                                         be executed in accordance with Article 5.2 of this Agreement.

 

		5.4	If
                                         Party B reaches his or her performance goals, Party B may instruct Party C to dispose
                                         of the Shares. Party B may keep all the remaining amount of the proceeds after fully
                                         repaying the loan principal and interest under this Agreement.

 

		5.5	During
                                         the Performance Period, if Party B resigns from the Company or its subsidiaries, dies
                                         or disappears, the disposition of the Shares and repayment of the principal and interests
                                         of the loan shall be implemented according to Article 5.2 of this Agreement.

 

	6.	Party
                                         C agrees to implement relevant provisions of this Agreement to ensure the interests of
                                         Party A and Party B.

 

	7.	The
                                         Parties unanimously acknowledge that the loan provided by Party A to Party B under this
                                         Agreement shall be solely used for the purchase of the Shares.

 

	8.	The
                                         maturity date of the loan under this Agreement is December 31, 2023 or the disposition
                                         date of the Shares, whichever comes first, and may be extended with the written consent
                                         of Party A and Party B. Party B may repay the principal and interest of the loan on or
                                         before the due date. The remaining amount of the loan principal and interest shall be
                                         repaid in lum sum, upon expiration of the Performance Period.

 

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	9.	During
                                         the term of the loan or during the extended loan period, if Party B has any of the following
                                         circumstances, Party B shall agree unconditionally that Party C has the right to dispose
                                         of the Shares in accordance with Party A’s instruction and that all proceeds shall be
                                         used to repay the principal and interest of the loan under this Agreement. Party A shall
                                         have the right to confiscate Party B’s own capital contribution and all proceeds (if
                                         any). If the proceeds are insufficient to repay the loan principal and interest under
                                         this Agreement, claim of the loan shall be made in accordance with Article 11 of this
                                         Agreement.

 

		9.1	Party
B makes sales misrepresenation, engages in illegal fund-raising, sells other company’s products, forges the Company’s official
seals without permission or acts in violation of laws and regulations;

 

		9.2	Party
B engages in criminal activities or gets involved in criminal activities.

 

	10.	The
                                         Parties agree and acknowledge that Party B shall repay the loan in the following single
                                         or joint manner(s): (1) before the loan is due, Party B (or his or her heir(s)) shall
                                         repay the loan through wire transfer into the bank account designated by Party A; (2)
                                         after the Performance Period and before the loan is due, Party B (or his or her heir(s))
                                         shall instruct Party C to sell the Shares in accordance with Article 5 of this Agreement,
                                         and use the proceeds to repay the principal and interests of the loan under this Agreement;
                                         (3) when the loan is due, Party B shall unconditionally agree that Party C shall dispose
                                         of the Shares in accordance with Party A’s instruction, including but not limited to
                                         sell or transfer to any other third party designated by Party A, and use the proceeds
                                         to repay the loan principal and interests under this Agreement.

 

	11.	All
                                         the Parties agree that the proceeds from the sale of the Shares on the open market or
                                         the transfer of the Shares to any person designated by Party A shall be used to repay
                                         the principal and interests of the loan under this Agreement, and Party C shall have
                                         the right to directly pay the relevant amount to Party A. When the loan is due, if
                                         the proceeds from the disposition of the Shares in the manner listed in Article 9 are
                                         not adequate to repay the principal and interests of the loan under this Agreement in
                                         full, Party A shall have the right to request the assistance from the employer of Party
                                         B (his or her heir (s), or transferee(s)) or its affiliate use all of the income (including
                                         but not limited to personal remuneration, proceeds from the sale of stocks or exercise
                                         of stock options) received by Party B (his or her heir(s) or assignee(s)) to repay the
                                         remaining amount of the principal and interests of the loan without prior written consent
                                         from Party B. If Party B still can’t repay the loan principal and interest
                                         under this Agreement in full in the manners specified in this Article, Party A shall
                                         have the right to take all necessary legal actions to claim the repayment of the loan
                                         by Party B (or his or her heir (s) or transferee(s)).

 

	12.	From
                                         the execution date of this Agreement until the termination hereof, Party B and Party
                                         C hereby represent and warrant to Party A that:

 

		12.1	Party
                                         B clearly understands all the terms and conditions under this Agreement. Once executed,
                                         this Agreement constitutes a legal, valid and binding obligation of Party B, enforceable
                                         against Party B in accordance with its provisions;

 

		12.2	Except
                                         for the provisions stipulated in this Agreement, Party B shall not mortgage, pledge or
                                         otherwise encumber the Shares, and shall not make an offer to transfer any such Shares
                                         to any third party, make any commitment about any third party’s offer to acquire
                                         the Shares, or execute any agreement to transfer the Shares with any third party.

 

	13.	Party
                                         B and Party C covenant that during the term of this Agreement, they shall not transfer,
                                         mortgage or cause any other security interest placed on the Shares before the loan principal
                                         and interests are paid off in full under this Agreement, without the prior written consent
                                         of Party A.

 

	14.	This
                                         Agreement shall be binding on and inure to the benefit of all parties hereto and their
                                         respective successors, heirs and permitted assignees.

 

	15.	The
                                         formation, validity, interpretation, performance, amendment and termination of and resolution
                                         of disputes in connection with this Agreement shall be governed by the PRC laws. Any
                                         dispute, controversy or claim arising from the interpretation and performance in connection
                                         with this Agreement (including any question regarding its existence, validity or termination)
                                         shall be settled by all parties through friendly consultations. In case no settlement
                                         can be reached within thirty (30) days after one party makes a request for settlement,
                                         either party may submit such dispute to the China International Economic and Trade Arbitration
                                         Commission (“CIETAC”) for arbitration in accordance with its arbitration
                                         rules then in effect at the time of applying for arbitration. The arbitration award shall
                                         be final and binding upon all Parties;

 

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	16.	All
                                         Parties agree and acknowledge that the terms and conditions of this Agreement shall be
                                         effective as of the share subscription date until all Parties have performed their obligations
                                         under this Agreement. This Agreement is severable. If any provision of this Agreement
                                         is held to be invalid or unenforceable, such provision shall not affect the validity
                                         and enforceability of the remainder of this Agreement. Any obligation arising out of
                                         this Agreement or that is due before the expiration or early termination of this Agreement
                                         shall survive such expiration or early termination. Articles 10 hereof shall survive
                                         the termination of this Agreement.

 

	17.	This
                                         Agreement shall not be amended or modified except with the written consent of both parties.
                                         In case of anything not covered herein, both parties may make supplements hereto by signing
                                         a written agreement. Any amendment, modification, supplement or annex to this Agreement
                                         shall form an integral part of this Agreement.

 

	18.	This
                                         Agreement shall be formed on its signing date. This Agreement is executed in three originals,
                                         with each of Party A, Party B and Party C holding one original. All originals have the
                                         same legal effect.

 

[No
text below]

 

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IN
WITNESS WHEREOF, all parties have entered into this Agreement as of the date first above written.

 

Party
A: CISG Holdings Ltd.

 

Chop:

 

 

 

Party
B: ___________________________

 

Signature: __________________________

 

 

 

Party
C: Fanhua Employees Holdings Limited

 

Treasure
Chariot Limited

 

Or

 

Step
Tall Limited

 

Chop: ____________________________

 

6 /
6Exhibit
4.17

 

English
Translations for Reference

 

FORM
OF ENTRUSTED SHARE PURCHASE AGREEMENT

 

This
Entrusted Share Purchase Agreement (this “Agreement”) is entered into by the following two parties as
of ___________:

 

Party
A: __________, a citizen of the People’s Republic of China, with ID number _________.

 

Party
B: Fanhua Employees Holdings Limited, a limited liability company organized under the laws of British Virgin Islands.

 

NOW
THEREFORE, after friendly negotiations, both parties hereby agree as follows for mutual observance:

 

		1.	Party
                                         A intends to subscribe for _______ ordinary shares (hereinafter referred to as “the
                                         Shares”) of Fanhua Inc. at a price of US$29.0 per American Depositary Receipt (“ADR”,
                                         one ADR representing 20 ordinary shares), for a total of US$______ (hereinafter referred
                                         to as “Subscription Price”). Party B entrusts Party C to subscribe and hold
                                         the shares on his or her behalf;

 

		2.	Party
                                         A shall pay Party B the full amount of the Subscription Price within 30 days from the
                                         execution date of this Agreement. If the payment is overdue or the Subscription Price
                                         is not fully paid-up, this Agreement shall be deemed terminated. Party B shall deliver
                                         the Shares at the above price within 30 days from the execution date of this Agreement,
                                         and deliver relevant documents to Party A to certify his or her rights and interests
                                         with respect to the Shares.

 

		3.	With
                                         respect to the entrustment, Party A and Party B acknowledge that

 

		3.1	Party B shall subscribe, register and hold the Shares in
its name, participate in relevant activities of the Company and exercise the voting rights of the Shares as a shareholder;

 

		3.2	Party
                                         A is entitled to the beneficial economic benefits of the Shares, including dividends,
                                         interests and other related rights and interests. Party B shall transfer, handle and
                                         pay such beneficial economic benefits to Party A in accordance with the instructions
                                         given by Party A from time to time. Except with prior written consent of Party A, Party
                                         B shall not pledge the Shares or cause any other security interest to be created on the
                                         Shares, offer to transfer such Shares to any third party, make any commitment about the
                                         offer of any third party to acquire the shares, or execute any agreement to transfer
                                         the shares with any third party.

 

		4.	Party
                                         A agrees to bear the expenses incurred for the subscription, holding and disposition
                                         of the Shares, including but not limited to secretarial fee, legal fee, transaction fee,
                                         etc. Party B has the right to deduct such expenses incurred when disposing of the Shares
                                         according to Party A’s instruction.

 

		5.	This
                                         Agreement shall be binding on and inure to the benefit of both parties hereto and their
                                         respective successor(s), heir(s) and permitted assignee(s).

 

		6.	The
                                         formation, validity, interpretation, performance, amendment and termination of and resolution
                                         of disputes in connection with this Agreement shall be governed by the PRC laws. Any
                                         dispute, controversy or claim arising from the interpretation and performance in connection
                                         with this Agreement shall be settled by both parties through friendly consultations.
                                         In case no settlement can be reached within thirty (30) days after one party makes
                                         a request for settlement, either party may submit such dispute to the China International
                                         Economic and Trade Arbitration Commission (“CIETAC”) for arbitration
                                         in accordance with its arbitration rules then in effect at the time of applying for arbitration.
                                         The arbitration award shall be final and binding upon both parties.

 

		7.	Both
                                         parties agree and acknowledge that the terms and conditions of this Agreement shall be
                                         effective as of the signing date of this Agreement until all parties have performed their
                                         obligations under this Agreement. This Agreement is severable. If any provision of this
                                         Agreement is held to be invalid or unenforceable, such provision shall not affect the
                                         validity and enforceability of the remainder of this Agreement. Any obligation arising
                                         out of this Agreement or that is due before the expiration or early termination of this
                                         Agreement shall survive such expiration or early termination.

 

		

                                                                                8.
	This
                                         Agreement shall not be amended or modified except with the written consent of both parties.
                                         In case of anything not covered herein, both parties may make supplements hereto by signing
                                         a written agreement. Any amendment, modification, supplement or annex to this Agreement
                                         shall form an integral part of this Agreement.

 

		9.	This
                                         Agreement shall be formed on its signing date. This Agreement is executed in two originals,
                                         with each of Party A and Party B holding one original. All originals have the same legal
                                         effect.

 

[No
text below]

 

     

     

    

 

IN
WITNESS WHEREOF, all parties have entered into this Agreement as of the date first above written.

  

Party
A: ____________________

 

Signature:____________________

 

 

 

Party
B: Fanhua Employees Holdings Limited

 

Chop:
Chop affixed

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