How a Real Estate Business Hired a Lawyer to Draft a Promissory Note Agreement in California

In 2026, a business in California sought assistance with drafting a promissory note agreement. The client was preparing to acquire a multifamily real estate investment property in another state and needed to raise approximately $200,000 by borrowing from wealthy friends. Their primary concern was to create a straightforward, 1-2 page agreement that ensured the lenders would have no equity stake in the property, while outlining the loan's terms, including an 18-month repayment period at a 15% annual interest rate with collateral provided by the property. As a result, the client received three proposals from licensed lawyers, with flat fee bids ranging from $499 to $2,000, all submitted to complete the work within the requested deadline of less than one week