Loan Agreement - Business

BUSINESS LOAN AGREEMENT

Before you use this: Identify the lender, borrower, actual use of proceeds, lender authority, state, full cost of credit, and any required disclosures. A business-purpose label or borrower statement alone does not decide whether a consumer, licensing, rate, or other lending rule applies. Complete the payment and fee schedules before signing.

This Agreement is dated [__/__/____] between [LENDER LEGAL NAME], a [ENTITY TYPE / JURISDICTION] of [ADDRESS] ("Lender"), and [BORROWER LEGAL NAME], a [ENTITY TYPE / JURISDICTION] of [ADDRESS] ("Borrower"). Lender and Borrower agree to a single business loan on the terms below.

1. Loan and funding

1.1 Lender agrees to advance $[PRINCIPAL AMOUNT] to Borrower on [__/__/____], subject to the closing conditions in Section 2. The loan is ☐ unsecured ☐ supported by the separate, signed collateral document identified in Schedule A. A guaranty exists only if a separate guaranty is signed and identified there. This Agreement itself does not pledge property or bind an owner, officer, or spouse personally.

1.2 Borrower will use the proceeds for [SPECIFIC PURPOSE AND PAYEES]. The parties record the expected allocation in Schedule A, including any personal, family, household, mixed, or refinancing component. The actual classification and disclosure analysis for this transaction is [SELECTED RESULT / SOURCE / DATE]; no exemption is asserted by this Agreement alone.

1.3 Lender shall fund to [VERIFIED PAYEE / BANK / ACCOUNT] by [METHOD] after independent confirmation of the instruction with [NAMED CONTACT / KNOWN CHANNEL]. Lender shall provide a dated funding confirmation and the net amount disbursed. Any amount withheld from proceeds is itemized in Schedule B.

2. Closing conditions

Before funding, each party shall deliver its signed agreement and actual authority record. Borrower shall provide [ENTITY APPROVAL / IDENTITY DOCUMENTS / PURPOSE RECORD / OTHER SPECIFIED ITEMS]. Lender shall provide the completed pricing and payment schedule and the disclosures, if any, identified in Schedule A. Any security or guaranty document listed there must be separately signed. An unlisted document is not a condition added at Lender's sole discretion.

If a closing condition is not completed by [__/__/____], either party may terminate by written notice before funding, subject to reimbursement only of the specifically agreed, documented closing expenses in Schedule B.

3. Interest, fees, and payment

3.1 Interest on unpaid principal accrues at ☐ fixed [RATE]% per year ☐ variable [INDEX / PUBLICATION / RESET DATE] plus [MARGIN] percentage points, with a floor [RATE OR NONE] and cap [RATE OR NONE]. The initial rate is [RATE]% on [__/__/____]. The calculation uses [ACTUAL/365 / ACTUAL/360 / OTHER FULL METHOD] and begins on the actual funding date. Schedule B shows the effect of all fees, prepaid finance charges, and payment timing for the selected law.

3.2 Borrower shall pay according to Schedule C. The first payment is due [__/__/____], the final maturity is [__/__/____], and the payment method is [VERIFIED METHOD / ADDRESS]. Lender shall apply each payment as stated in Schedule C and provide a balance statement on request. All payments, credits, and fees must reconcile to the ledger.

3.3 Prepayment is ☐ allowed without additional charge ☐ allowed with the expressly stated charge [FORMULA / PERIOD / AMOUNT] to the extent permitted by governing law. Any late fee, default interest, origination fee, or servicing fee applies only if its amount, trigger, and calculation appear in Schedule B and are permitted for this transaction. No unstated fee or daily penalty is due.

3.4 If any rate or charge is unlawful for the actual transaction, the parties shall adjust the affected amount to the extent required by the governing law and credit or return any excess. This provision is a contract adjustment mechanism, not a representation that an unlawful rate was lawful when charged.

4. Borrower statements and ongoing duties

4.1 Each party states that its signer is authorized. Borrower states that the purposes, entity status, financial records, and existing liens or material restrictions disclosed in Schedule A are accurate in all material respects as of signing. A later advance does not repeat an unverified statement because this Agreement contemplates only one advance.

4.2 Borrower shall use the proceeds for the selected purposes, keep records of the loan and payments, and provide [SPECIFIC REPORT / FREQUENCY OR NONE]. Borrower shall notify Lender of an event that materially affects payment ability within [NUMBER] days after it learns of it. Any financial covenant, borrowing base, inspection right, insurance requirement, or distribution restriction applies only if specifically described in Schedule A.

5. Default and response

5.1 Default means ☐ failure to pay an amount actually due after [NUMBER] days following written notice ☐ material breach of a listed covenant after [NUMBER] days following written notice ☐ a materially false identified statement that affects this loan, after [CURE RULE] ☐ other defined event [DETAILS]. An ordinary business change, another creditor's default, or a bankruptcy filing alone does not authorize self-help under this Agreement.

5.2 After an uncured default, Lender may demand the supported unpaid balance or pursue an available remedy through the route allowed by the governing law and any separate signed security or guaranty document. Lender shall credit payments and recoveries and give an itemized calculation. No automatic setoff, lien, injunction, attorney-fee award, or waiver of a stay arises from this Agreement.

5.3 Borrower may dispute a calculation by identifying the item and providing its records. The parties shall reconcile the ledger before claiming an amount not supported by Schedule B, Schedule C, and actual transactions.

6. General terms

6.1 Notices go to Lender at [ADDRESS / AUTHENTICATED EMAIL] and Borrower at [ADDRESS / AUTHENTICATED EMAIL], effective on [DELIVERY EVENT]. A payment instruction change requires the independent confirmation in Section 1.3.

6.2 [STATE] law governs this Agreement, subject to any nonwaivable law applying to the lender, borrower, purpose, or security. Disputes shall be heard in [COURT / COUNTY / STATE] to the extent permitted. No arbitration or jury waiver is included.

6.3 This Agreement and the signed schedules are the entire loan agreement for this advance. A change requires both parties' written signatures. If one provision is unenforceable, the rest continues to the extent the loan can be performed. Electronic signatures and counterparts may be used to the extent permitted by applicable law.

Signatures

Lender: [EXACT LEGAL NAME]

By: [SIGNATURE]

Name / title / authority: [DETAILS]

Date: [__/__/____]

Borrower: [EXACT LEGAL NAME]

By: [SIGNATURE]

Name / title / authority: [DETAILS]

Date: [__/__/____]

Schedule A — Transaction and document selection

Schedule A accepted: Lender [SIGNATURE] Borrower [SIGNATURE] Date [__/__/____]

Schedule B — Price and charges

Schedule B accepted: Lender [SIGNATURE] Borrower [SIGNATURE] Date [__/__/____]

Schedule C — Payments and credits

Payment application and partial-payment rule: [EXACT ORDER / ACCOUNTING METHOD]

Schedule C accepted: Lender [SIGNATURE] Borrower [SIGNATURE] Date [__/__/____]