This Loan Agreement ("Agreement") is made and entered into as of [Date] by and between:


  • [Your Name/Business Name]
  • [Your Address]



  • [Borrower Name]
  • [Borrower Address]


WHEREAS, Lender desires to loan a sum of money to Borrower, and Borrower desires to borrow such sum of money.

NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties agree as follows:

1. Loan Amount

Lender agrees to loan Borrower the principal sum of [USD/CAD] (the "Loan Amount").

2. Interest Rate

The Loan will accrue interest at a rate of [Interest Rate]% per annum (the "Interest Rate").

3. Repayment Schedule

The Loan shall be repaid in [Number] equal installments of [USD/CAD] each, commencing on [Start Date] and continuing on the same day of each subsequent month until the Loan Amount and all accrued interest are paid in full (the "Payment Schedule").

4. Late Fees

A late fee of [Late Fee Amount] will be charged for any payment received more than [Number] days after the due date.

5. Prepayment

Borrower may prepay the Loan in full or in part at any time without penalty.

6. Use of Loan Proceeds

Borrower agrees to use the Loan proceeds for the following purpose(s): [Specify intended use of loan funds]

7. Security

[Optional: Include this section if requiring collateral for the loan]

Borrower agrees to grant Lender a security interest in [Type of Collateral] (the "Collateral") to secure the obligations of this Agreement. Borrower shall execute and deliver to Lender all documents necessary to perfect such security interest.

8. Covenants of Borrower

Borrower covenants and agrees to:

  • Use the Loan proceeds only for the purposes stated in Section 6.
  • Maintain accurate financial records and provide them to Lender upon request.
  • Keep the Collateral in good condition and repair.
  • Notify Lender promptly of any material changes in Borrower's financial condition.

9. Events of Default

The following shall constitute events of default under this Agreement:

  • Borrower's failure to make any payment due hereunder when due.
  • Borrower's breach of any other covenant or warranty contained herein.
  • Borrower's insolvency or bankruptcy.

10. Remedies of Lender

Upon the occurrence of an event of default, Lender may exercise any or all of the following remedies:

  • Declare the entire outstanding balance of the Loan immediately due and payable.
  • Foreclose on the Collateral (if applicable).
  • Pursue any other legal or equitable remedies available to Lender.

11. Representations and Warranties

Borrower represents and warrants to Lender that:

  • Borrower has the full right, power, and authority to enter into this Agreement and to borrow the Loan Amount.
  • The information provided to Lender in connection with this Agreement is true and accurate.
  • Borrower is not in default under any other material loan agreement.

12. Notices

All notices required or permitted hereunder shall be in writing and shall be deemed given when delivered personally, sent by certified or registered mail, postage prepaid, return receipt requested, or sent by overnight courier service to the addresses set forth above.

13. Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the State of [Your State] (USA) or the Province of [Your Province] (Canada), as applicable.

14. Entire Agreement

This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior or contemporaneous communications, representations, or agreements, whether oral or written.

15. Severability

If any provision of this Agreement is held to be invalid or unenforceable, such provision shall be struck and the remaining provisions shall remain in full force and effect.

16. Signatures


[Your Signature]

[Your Printed Name]


[Borrower Signature]

[Borrower Printed Name]