A "significant proportion" of a £65m would have to be paid back by Burnley if they are relegated from the Premier League.
The Clarets, who are in the relegation zone, would be forced to pay up at the end of the season if they drop into the Championship.
The loan was taken out as part of Burnley's takeover by ALK Capital in December 2020.
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The details have been revealed in newly-published accounts for the 12 months to July 31, 2021.
According to LancsLive, the £65m loan is due to be repaid in December 2025, five years after the takeover of the club by ALK Capital, with interest only payments required up to that point.
However, that agreement is on the basis that the Clarets maintain their Premier League status.
Should they be relegated then the repayment schedule is brought forward with a significant proportion falling due for payment shortly after the season in which the relegation occurs.
A total of £102m continues to be owed by the club to Calder Vale Holdings Ltd as part of the agreement to take on the club.
The latest accounts also show that Burnley's turnover dropped from £133.8m to £115.1m while they went from a pre-tax profit of £4,000 to a loss of more than £2.9m.
If Burnley were to be relegated to the Championship, their parachute payment for year one, which repayment would fall in, will be around £43.5m, reducing over two following years.
A statement from the board of directors said: "On behalf of the board of directors, we are pleased to present the annual report and financial statements for the year ended 31 July 2021.
"The club entered its fifth successive season in the Premier League with Dale Stephens joining the club from Brighton & Hove Albion.
"Due to unprecedented circumstances, Burnley went another full season without fans in the stadium except for a limited number returning for our last home match.
"The excitement and support from our Burnley fans was sorely missed. The lack of fan attendance and the lower placed league finish at 17th meant turnover fell from £134m to £115m.
"During the season we extended contracts on several key players and managed to reduce wages year over year from £92m to £86m, in part due to a lower retention bonus at the end of the 2021 season.
"Despite Covid challenges and our lower turnover, the group ended the season with £50m of cash on hand after reporting a small loss before tax of £3m.
"In July 2021 the club said farewell to James Dunne, Josh Benson and Ben Gibson, who moved on to pastures new, while welcoming in Nathan Collins.
"We are pleased with the results of our first seven months of ownership as we have been able to incorporate the women’s team fully into the Burnley FC family and begin long term planning on facility improvements and player development investment.
"The strength of our team working together to overcome the challenges we have experienced this year give us hope and confidence for the coming season.
"I would like to thank all of the fans for their continued support and we have enjoyed welcoming you back for the 2021-22 season."
