LLC Loan Agreement Template

The Parties

This LLC Loan Contract (“Agreement”) dated on the (Date) is between [Borrower.FirstName][Borrower.LastName] of (Borrower.LLCName) with the mailing address [Borrower.Email] and [Lender.FirstName][Lender.LastName] of [Lender.Company] with the mailing address of [Lender.Email].

In consideration of the Lender loaning the Borrower certain monies (“Loan”), and the Borrower repaying the Loan to the Lender following the terms of the Agreement.

Loan Agreement

The Lender agrees to lend $(Amount) (“Principal Amount”) to the Borrower under the following terms:

No Interest on Principal Amount

Interest Rate of (Percentage)% compounded per:

Month

Annum

Other: (Other.Description)

The Borrower will receive the Loan on the (Loaned.Date)

Payments

The total balance of the Loan, including any interest, fees, or penalties, is due in:

A Lump Sum – Borrower must pay back the Loan in a lump sum payment, in the total amount of $(Amount), by the (Due.Date).

Installments – Borrower shall pay the Loan and its fees, penalties, and interest totaling installment amounts of $(Amount), with the first payment on the (FirstPayment.Date), and the remaining payments as:

Weekly installments, due on the (Day) of the week

Monthly installments, due on the (Number) of each month

Quarterly installments, due on the (Day) every three months

The Loan is due, with any outstanding balances settled, by the (Final.LoanDate). Any payment that is more than (Number) days late after its due date, according to the above terms, will incur an occurrence/daily late fee of $(Amount)/interest rate of (Percentage)% on the outstanding balance.

Loan Security

This Agreement will be:

Unsecured – There is no security provided in the Agreement.

Secured – The following property is supplied as Security for the Agreement: (Property.SecurityDescription) (“Security”)

• This Security will transfer to the possession and ownership of the Lender should the Borrower default on this Agreement. Until the Loan is repaid in full, the Borrower may not sell, transfer, or otherwise exchange the Security without the written permission of the Lender. Should this term be violated, the Lender may declare all sums due under the Agreement immediately due and payable. Should the market value of the Security not equal or exceed the Loan, then the Borrower remains liable for the outstanding balance, which will accrue interest at the maximum rate allowable by law.

Co-Signer

This Agreement has:

No Co-Signer

A Co-Signer – Together with (Borrower.LLC), [Co-Signer.FirstName][Co-Signer.LastName] (“Co-Signer”) of [Co-Signer.Company] will co-sign the Agreement. The Co-Signer understands and agrees to the liabilities and obligations on behalf of the Borrower under this Agreement. Should the Borrower fail to make payment, it will be the responsibility of the Co-Signer to repay the principal Loan, its fees, interest, and penalties according to the terms of the Agreement.

Prepayment Policy

Should the Borrower make a prepayment on the Loan, the following will apply:

No Penalty – Borrower, while not in default, can make a lump sum repayment of this Loan without any further bonus or penalty, provided they inform the Lender in writing of it (Number) days before.

Pre-Payment Penalty – If the Borrower pre-pays an amount to pay less interest, then there shall be a prepayment penalty fee of

$(Amount) per occurrence

(Percentage)% of the prepaid amount

Other – (Other.Description)

Default

Should the Borrower default on the Agreement, they will have (Number) days to correct the default to satisfy this Agreement. Should the Borrower not correct the default within the stated period, the Lender may declare the outstanding Loan and any fees, penalties, and interest immediately due and payable.

If the Borrower fails to provide the entire outstanding amount, an interest rate of (Percentage)% per annum will be charged on the due amount until the Lender receives the total outstanding amount.

Miscellaneous

Attorney Fees

It will be the responsibility of the Borrower to pay any costs or expenses the Lender incurs while collecting sums due per this Agreement while the Borrower is in default. Reasonable attorney fees are included in these expenses and costs. If either Party sues to enforce this Agreement, the prevailing Party in the proceedings will be entitled to recover reasonable attorney fees and costs incurred during the proceedings from the non-prevailing Party.

Severability

Should any provisions in this Agreement become void or unenforceable under federal, state, or local laws, such determination will not affect the validity or enforceability of any other provision, all of which remain in full force and effect.

Agreement

The laws of (State) shall govern this Agreement and its terms, with any dispute proceedings carried out by a court of law in (State). By signing this Agreement, both Parties acknowledge that they understand and agree to its terms and execute it on the date below.