Personal Guarantee – What If You Are Asset Rich?
We have several wealthy clients we act for, who have given a Personal Guarantee for finance or helped support someone, say starting in business, but needed a ‘leg up’ to get going and they in turn signed a PG.
If your assets outweigh the PG amount significantly and you are undoubtedly liable it’s then a situation of case management and mitigating costs. The costs element is so important and whilst it seems simple enough, it’s not.
However, if there are weaknesses in any PG given, then it comes down to commerciality. The case study attached is a perfect example and we suggest you consider it to see exactly what we mean and what can be achieved.
This particular line of work within the niche of our PG work is again so specialised. It’s essential that a PG guarantor is aware of the consequences and pitfalls from the start. Difficult decisions have to be made quickly.
So many things can apply in such cases and we at Bell & Company pride ourselves in giving WHOLE advice in this sphere.
As with any dispute/claim, defending litigation can be costly and the right team supporting you is vital.
Looking to avoid litigation is key but controlling it is more important. We work alongside solicitors (they’re not always happy with our interventions!) ensuring we are ALL focused on the end target. We don’t want our day in Court but if legal dialogue is required then so be it.
BUT – deals can be achieved, with the right approach and advice.