Simple Loan Agreement Template | Family, Personal & Small Biz Loan Contract

Document a Loan Clearly. Avoid Costly Misunderstandings.

Whether you're lending money to a family member, friend, business partner, or small business, putting the agreement in writing is one of the simplest ways to protect everyone involved. This Simple Loan Agreement Template helps lenders and borrowers clearly document the terms of a loan, reducing the risk of future disputes and misunderstandings. The form is designed for real-world situations where the parties have a trusted relationship but still want a professional written agreement. Unlike many loan agreements and promissory notes that are heavily drafted in favor of the lender, this template is intentionally balanced, practical, and easy to understand. It is written in plain English and focuses on the terms that matter most.

Why We Created This Template

Many loan agreement forms are unnecessarily complex, difficult to negotiate, or loaded with lender-friendly provisions. This template takes a different approach. We call it a Simple Loan Agreement because it is designed to be easy to understand, customize, and sign. It does not include complicated provisions such as personal guarantees, equity conversion rights, collateral packages, or other advanced financing terms often found in commercial lending documents. Instead, it is intended for straightforward lending situations where the parties want a fair, professional agreement that clearly reflects their deal. Whether you are helping a family member start a business, lending money to a friend, or documenting a private loan between trusted parties, this template provides a practical starting point.

Easy to Edit and Customize

This template is provided in Microsoft Word format and can also be edited in Google Docs. After purchase, you'll receive immediate access to download the document. Simply enter your information, customize the terms to fit your situation, and have all parties sign. The template also includes practical instructions and drafting notes to help you understand common options and considerations before finalizing your agreement.

• Family loans

• Friend-to-friend loans

• Small business startup loans

• Loans between business partners

• Personal loans

• Private lending arrangements

• Loans that have already been made but were never properly documented

• Loan amount

• Interest rate

• Repayment schedule

• Maturity date and loan term

• Late payment provisions

• Prepayment rights

• Default provisions

• Signatures of lender and borrower

• Other key loan terms commonly included in a written loan contract

• Claims that loaned money was actually a gift

• Disputes regarding repayment terms

• Confusion about interest rates or payment schedules

• Questions regarding whether funds were personal or business-related

• Lack of written evidence if a disagreement arises later  

Instant Download

• Microsoft Word (.docx) format

• Compatible with Google Docs

• Immediate access after purchase

• Written in plain English

• Suitable for personal and small business loans

• Easy to customize for your specific situation  

A simple written agreement today can prevent expensive disputes tomorrow.