Objective: This study aimed at assessing the effects of two verbal encouragement modalities on the different offensive and defensive performance indicators in handball small-sided games practiced in physical education settings. Methods: A total of 14 untrained secondary school male students, aged 17 to 18, took part in a three-session practical intervention. Students were divided into two teams of seven players (four field players, a goalkeeper, and two substitutes). During each experimental session, each team played one 8 min period under teacher verbal encouragement (TeacherEN) and another under peer verbal encouragement (PeerEN). All sessions were videotaped for later analysis using a specific grid focusing on the balls played, balls won, balls lost, shots on goal, goals scored, as well as the ball conservation index (BCI), and the defensive efficiency index (DEI). Results: The findings showed no significant differences in favor of TeacherEN in all the performance indicators that were measured, whereas significant differences in favor of PeerEN were observed in balls played and shots on goal. Conclusions: When implemented in handball small-sided games, peer verbal encouragement can produce greater positive effects than teacher verbal encouragement in terms of offensive performance.