April 24, 2024
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Sample Loan Agreement between Companies

A loan agreement is a legal document that outlines the terms and conditions of a loan between two parties. When it comes to loans between companies, having a well-crafted loan agreement is essential to protect both parties from any potential issues or misunderstandings that may arise. In this article, we will provide you with a sample loan agreement between companies that can help guide you in creating your own loan agreement.

The Basics

Before we dive into the sample loan agreement, let`s first cover some basics that should be included in any loan agreement between companies. Some of the key elements to include are:

1. Names and contact information of the parties involved

2. Loan amount and repayment terms

3. Interest rate and fees (if any)

4. Security or collateral (if applicable)

5. Default and consequences

6. Governing law and jurisdiction

Sample Loan Agreement

Now, let`s take a look at a sample loan agreement between two companies.

Loan Agreement

This Loan Agreement (“Agreement”) made and entered into on [insert date] by and between [Lender name and address] (“Lender”), and [Borrower name and address] (“Borrower”).

Loan Amount

Lender agrees to loan Borrower the sum of [insert loan amount] dollars ($[insert loan amount]) (the “Loan”).


The Loan will bear an interest rate of [insert interest rate] percent ([insert interest rate]%) per annum, calculated on the outstanding principal amount. Interest on the Loan will accrue daily and will be payable monthly.


The Loan will be repaid in [insert number of payments] monthly payments of [insert repayment amount] dollars ($[insert repayment amount]), with the first payment due on [insert date]. All payments will be made to Lender at [insert payment address].


Borrower shall provide security for the Loan in the form of [insert collateral]. The collateral shall be free and clear of any liens or encumbrances.


In the event of default, Lender shall have the right to exercise any and all remedies available to it under applicable law, including but not limited to acceleration of the Loan and foreclosure on the collateral.

Governing Law and Jurisdiction

This Agreement shall be governed by and construed in accordance with the laws of the state of [insert state]. Any dispute arising out of or in connection with this Agreement shall be resolved in the courts of [insert county], [insert state].

This Loan Agreement constitutes the entire agreement between the parties and supersedes all prior negotiations, understandings, and agreements between them. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument.


Creating a loan agreement between companies can be a complex process, but having a well-crafted loan agreement can help ensure a successful and mutually beneficial loan arrangement. The sample loan agreement provided above is just one example of what a loan agreement can look like, but it should give you a good starting point in creating your own loan agreement. Always remember to consult with legal counsel to ensure your loan agreement complies with all relevant laws and regulations.

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