In simple terms, a personal guarantee is a legal commitment to repay a debt if the original borrower fails to do so. Essentially, you are acting as a personal guarantor for a business (usually your own), so if your company has a regular loan repayment to make, you effectively guarantee that you will personally step up and pay this if the business cannot.

Before taking the step to become a personal guarantor for a business loan, it’s well worth knowing all the legal aspects involved in the contractual relationship you will be entering into. It’s at this point in the process that we would suggest seeking out sound legal advice from a commercial solicitor with vast experience in the field.

Options agreements are usually in place when a developer and a landowner are looking to finalise a sale. The option agreement gives the developer the option to purchase the land at an agreed sum or market price and gives them the ability to obtain planning. This gives the developer security in that they have already effectively gained planning permission before the sale has gone through. This helps to ensure developers don’t purchase land and find they are unable to carry out the work they had hoped to after the sale has already completed.

Contact Curtis Law Solicitors Today

If your business requires any further information about options and personal guarantees, then be sure to get in touch with the vastly experienced solicitors here at Curtis Law. Please do feel free to get in touch with us by calling 01254 297130 and one of our solicitors will be more than happy to assist you with your enquiry. You can also contact us by using our simple enquiry form below, and member of our experienced team will be in touch to discuss your requirements as soon as possible.