Download these Free Promissory Note Templates that are designed in MS Word Format.
We often borrow money or get loans from persons or banks, in both cases, a written promise or promissory note is advised to avoid any complications in the future. Financial matters often need to raise funds for new ventures or to cope with financial crises in business. Both conditions demand some written agreement with persons or organizations sponsoring you regarding a loan.
How do you write a Promissory Note?
A promissory note must be prepared by an attorney as it is a legal document between two parties that can be pleaded in court for any further assistance in case of any nonpayment of credit. Banknotes are also referred to as promissory notes as they set conditions for financial assistance from the bank and return of this mortgage and bind the person under some conditions. In the following conditions, a person may need to have a promissory note.
An entrepreneur discussing his/ her ideas for new ventures with friends or family members may be offered financial support from them or may need monetary assistance from them. For the sake of getting supported economically, it is needed to write a promissory note that saves both parties from sharing in business.
A promissory note must contain the name of the sponsor and creditor along with the principal amount provided by the sponsor and the interest rate that will be applicable at the time of return. The maturity period should also be defined; it should take into account the way of payment of the loan on which both lender and borrower agreed.
Here is a preview of a sample Promissory Note Template,
Here is the download link for this Promissory Note Template,
Free Simple Promissory Note Templates
Here are following some different types of legal Promissory Note Templates. We did mention their name and download links so you can easily prepare your notes quickly.
Commercial Promissory Note
Personal Loan Promissory Notes
Real Estate Promissory Note
Simple Promissory Note
Investment Promissory Note
Student Loan Promissory Note Template
Simple Promissory Note Sample Letter
Unsecured Promissory Note Template
Blank Promissory Note Template
Getting financial support throughout business life is a key process. Any businessman might be willing to raise finance other than banks like from friends and other acquaintances to avoid being pledged by banks. At that level, they have to write a promissory note to make a written agreement for taking finance for their business.
In the case of dealing in a real estate deal, both parties write a promissory note to enter into a sale purchase deed. It includes the terms and conditions for the transaction in the deal and suggestions on what will happen in case of nonpayment in time. A student can also borrow money for education and write a promissory note for the purpose.
Occasionally if a person is willing to participate in a business as a sleeping partner he/she can write a promissory note along with a partnership deed. By promissory note, he/she can get a secure position as a sleeping partner in an industry. As it is a debit obligation so along with other terms and conditions one can include terms of his/ her convenience for further dealing and best assistance in due course of cooperation.
A promissory note must be signed by both parties with two reliable witnesses. The addresses of parties and witnesses must be mentioned. If there is any compulsion it must be clearly and prominently stated in the promissory note. In case someone is willing to endow themself with financial help to a poor person to make him able to earn sufficiently, he may lend him money with a loose-term promissory note to make him bound for the productive use of that money.
