Loan to company requirements

When making a loan to a business account, what is needed as far as paper work is concerned and is there a format which is required or an ex. of one that I can follow?


basic promissory note. find one almost anywhere. be sure that the LLC pays you interst on the money.

interest of…1% per annum?

well…it should be reasonable. it IS a business transaction, no?

I’ve read about the promissory note and interest when loaning money to the LLC. Here’s what I want to know how to do. My wife and I have put several thousand dollars into our LLC to purchase our property. We want to purchase more. If I’d rather use any money in the LLC account for future purchases and then take a distribution from the LLC in the future (once we have a sufficient amount of properties), how would I do that and document my actions? I’m not concerned with pulling money out of the business for now because my day job pays all the bills. My wife and I are the only owners of the LLC, so can we just set it up where we will take distributions in the future when we deem necessary? How would a promissory note look for that? Would the LLC be given an indefinite amount of time to start paying back that money? And when that time comes, what is the proper way to do it? Should a check from the business account only be written to my wife’s name or my name? I would think that would look more official than using the business checks to pay a car payment.

it needs to be a real promissory note, with real interest, and real payments to be made in a specified time and manner. it can be a balloon-type note, but you need to accrue interest and have some mechanism for paying it off, even if another note is issued.