I have one friend I lend a lot of money (to me) to.
1. Never expect it back
If I never got it back, I would be ok. But, he has always paid me back and often with interest.
2. Make sure you trust the person
This is one of my closest friends.
3. He does nice things for my family all the time
Even if he never pays me back, He's given us more than I've ever loaned him.
4. Loan a small amount first
If they don't pay you back, don't loan again.
5. Don't loan it out if it will ruin the relationship
I have another friend who's loaned money from other friends for years and never paid them back. You don't want to be that person and no one wants to loan him money anymore... We still are friends with him, but how trustworthy is he?