Sample Commercial Promissory Note
Sample Commercial Promissory Note
Date: January 1, 2050
Location: San Francisco, California
FOR VALUE RECEIVED, the undersigned, [Your Company Name], a limited liability company organized and existing under the laws of the State of California with its principal place of business at 1234 Silicon Ave, San Francisco, CA 94103 (hereinafter referred to as the “Maker”), promises to pay to the order of Anderson Tech Solutions, LLC, a corporation organized and existing under the laws of the State of New York with its principal place of business at 5678 Wall St, New York, NY 10005 (hereinafter referred to as the “Holder”), the principal sum of One Million U.S. Dollars ($1,000,000) with interest on the unpaid principal balance at the rate of 5.75% per annum, according to the terms set forth below.
1. Payment Terms
The principal and accrued interest shall be payable in equal monthly installments of $30,000, commencing on February 1, 2050, and continuing on the first day of each calendar month thereafter until the full principal sum and accrued interest are paid in full. All payments shall be applied first to accrued interest and then to principal.
The entire outstanding principal balance, along with any accrued and unpaid interest, shall be due and payable in full on January 1, 2060 (the “Maturity Date”).
2. Prepayment
The Maker may prepay this Note, in whole or in part, at any time without penalty. Any such prepayment shall first be applied to accrued interest and then to the outstanding principal.
3. Default
In the event, that the Maker fails to make any payment due under this Note within 10 days of the due date, or upon any other breach of the terms of this Note, the entire outstanding balance, including all accrued interest, shall become immediately due and payable at the option of the Holder. If this Note is placed in the hands of an attorney for collection after default, the Maker agrees to pay all costs of collection, including reasonable attorney’s fees.
4. Interest on Default
If any payment is not made when due, interest shall accrue on the unpaid balance at the rate of 10% per annum (or the maximum rate permitted by law, whichever is lower) from the date of default until the balance is paid in full.
5. Waiver
The Maker, for itself and its successors, waives presentment for payment, protest, notice of protest, and notice of non-payment of this Note.
6. Assignment
This Note shall be binding upon and inure to the benefit of the parties hereto, their respective successors, assigns, heirs, and legal representatives. The Holder may assign or transfer this Note without prior notice to the Maker.
7. Governing Law
This Note shall be governed by and construed following the laws of the State of California, without regard to its conflicts of law provisions.
8. Notices
Any notice or communication required or permitted to be given under this Note shall be delivered in person, or sent via certified mail, return receipt requested, to the parties at their respective addresses listed above or to such other address as either party may designate by written notice to the other party.
9. Severability
If any provision of this Note is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.
10. Entire Agreement
This Note constitutes the entire agreement between the Maker and the Holder concerning the subject matter hereof and supersedes all prior negotiations, agreements, and understandings.
Maker:
[Your Company Name]
[Your Name]
CEO
January 1, 2050
Holder:
Anderson Tech Solutions, LLC
Sarah Baker
Chief Financial Officer
January 1, 2050
