A business loan contract is a kind of a contract document made when loan is taken in order to start or run a business. It focuses on defining the terms and conditions based upon which both the parties agree to sign the contract.
Sample Business Loan Contract:
This agreement is made and executed between Interlink Limited herein called the Borrower and Washington Banks limited herein called the Lender.
Address of business: 12, West Washington Street, Washington
The borrower runs an electronic device manufacturing business and agrees to borrow a sufficient amount from the lender based on certain terms and conditions.
Address: 34, ret square, Washington
The lender agrees to loan the amount required on the basis of repayment within a fixed period of time.
Loan amount: $1500
Starting date of loan : 1’st November, 2010
The amount shall be repaid through monthly installments with 6% rate of interest.
Terms and conditions:
- Borrower shall pay the loan amount through monthly installments.
- The payment must be done on the 1’st of each month and in case of late payment, an amount of $100 will be charged.
- This document is legal by all means and in case of misconduct, can result in charges against breach.
- There shall not exist any event of default under this agreement at any time during the contract.
- The borrower is an organization of profit which shall be duly organized at all times and in good standing under the laws of the state.
- Both the parties must keep the copy of this document at all times during the length of the agreement.
Reggie William (Interlink limited)
Frieda Law (Washington banks)