Net Lawman
India (Change)
Basket items
  View Sample Document Front cover
Product ID: IN-LDGgti10

Personal guarantee of company debt

This personal guarantee is the equivalent of the "PG" your bank might ask you to sign when storm clouds gather around your company. It is for use in any situation requiring an individual to guarantee the debt of a company, but most usually when the guarantor is a director. Applicable to any situation where money is owed. Suitable for use by lender or guarantor as it provides a wide range of options to produce a final version with high or very high level of lender security.
  • Solicitor approved
  • Plain English makes editing easy
  • Guidance notes included
  • Money back guarantee
About
Preview
Why from us
Ask a question

About this document

This is a professionally drawn personal guarantee agreement for a lender to put to a company director as a condition of either increased lending or forbearance in enforcement of existing loan conditions. First, it identifies an original loan agreement between the lender and the company, then ties the guarantor to it, to “stand in the shoes” of the company in the event that it was unable to make repayment when due.

The agreement provides many options primarily to strengthen the position of the lender. Some could be deleted so as to provide a softer agreement for the guarantor if required.

The law in this document

There is no modern statutory law relating to guarantees. This document is based on contract common law.

Net Lawman offers other document templates related to new guarantees at Guarantees and Indemnities.

Agreement features and contents

  • The key benefit of using this document over adding a guarantee paragraph to the original contract is the simplicity of use.
  • There is no need to edit and agree the original contract. That means less room for making a mistake and invalidating some provision of it.
  • Provides heavyweight protection for the lender.
  • The document highlights the continuing liability of the guarantor (usually the director who is personally liable for the company debt).
Draftsman

This document was written by a solicitor for Net Lawman. It complies with current Indian law.

Legal Advice Service
Rakesh Taneja

Ask our solicitors about any legal matter for a fixed low price. Our qualified lawyers will answer your question quickly and confidentially by e-mail.

Ask us about the law

What Our Clients Say

  • "Easy and fulfilled my needs. The documents are accepted by the other parties solicitors without my waiting for my own solicitors to act. Professional documents, easy to use saved my time and money."

    Roy Butterworth

  • "I was recommended to you some time ago - many thanks for an excellent document. I have you in my "favourites" Easy to navigate website - clearly displayed and simple to understand. Very easy to use and edit document in clear English. It has enabled me to present a professional and relevant document to my customers with ease. I will recommend Net Lawman due to easy to use website, documents in clear English and easy to edit, very reasonable and prompt."

    Martha Walker

  • "The document was clear to read, easy and quick to use. I will recommend Net Lawman due to ease of usability."

    Clive Bonny