Path following presents a pivotal challenge within the realm of small fixed-wing unmanned aerial vehicles. Firstly, a Lyapunov-stable path guidance law was formulated to follow specific planar curved paths. To ensure differentiability of the guidance law, a modified, smooth saturation function was derived. Secondly, an analysis was conducted to ascertain the interrelationship between control parameters and input constraints, thereby identifying the relevant parameter domains. Thirdly, the nonlinear model predictive control technique was harnessed to optimize both guidance law parameters, enhancing the unmanned aerial vehicle’s capacity to achieve optimal performance in both straight-line and circular path following, hereafter referred to as PFC_NMPC. By leveraging Lyapunov stability arguments for switched systems, the stability of the corresponding nonlinear switched system was guaranteed. In this study, square and circular paths were generated to assess the path-following control of a simulated fixed-wing unmanned aerial vehicle. The performance of various guidance laws, including those with fixed parameters (PFC), those with parameters tuned using fuzzy logic (PFC_FL), PFC_NMPC, vector field, and pure pursuit with line-of-sight, was compared. Notably, the proposed PFC_NMPC method exhibited the ability to expedite the unmanned aerial vehicle’s convergence to the desired path while maximizing the effective flight path length.