Why Director’s Personal Guarantees: Why Lenders Insist on Independent Legal Advice (ILA) for PGs
Director’s Personal Guarantees: Why Lenders Want Them and Why You Need Expert Independent Legal Advice What is a Director’s Personal Guarantee? A director’s personal guarantee is a legally binding agreement where you, as a director, agree to be personally liable for your company’s debts – mortgage, remortgage, for example. Essentially, if your company defaults on a loan or other financial obligation, the lender can pursue you personally for the outstanding amount. Why Do Lenders Require Personal Guarantees? Lenders often seek personal guarantees to: The Need for Independent Legal Advice When asked to provide a personal guarantee, it is vital to seek independent legal advice from experts who are experienced professionals in such matters. This is where experts like Orobosa Solicitors come in. Here’s why: Why Choose Orobosa Solicitors? Orobosa Solicitors has a proven track record of providing expert legal advice to company directors. We understand the complexities of personal guarantees and can provide you with: What to Consider Before Signing: Conclusion Director’s personal guarantees are a serious matter. By understanding the implications and seeking expert independent legal advice from professionals like Orobosa Solicitors, you can protect your personal assets and make informed decisions. Don’t sign anything without fully understanding
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