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Updated over 9 years ago,
Seeking advice promissory note
Hello Biggerpockets family!
I have two investor friends that have acquired an 18-unit apartment complex under sub-to the existing mortgage. The property is in the name of an LLC. They need 10k to pay off property taxes owed on property.
If I give them the 10k, I will have a 1/3 interest in the apartment complex. Of course I will have a business agreement in place stating this.
I want to lend the 10k on terms and would like to receive monthly payments until the complex is performing at a certain standard.
Here are my questions:
Can I legally have a promissory note with the LLC that has a promise to pay a certain amount monthly and still be a member of the same LLC?
If so, would anyone have a base template of a promissory note that would be good to use?
Thank you in advance BP family, any advice is greatly appreciated.