Finance Practice
Independent legal advice.
Before a lender will settle, it usually requires each borrower, guarantor and director to receive advice from a lawyer acting for them alone. That advice — and the certificate that records it — is a core part of my finance practice.
Request ILA
Who Needs It
Common situations
- Guarantors supporting a company or family member's borrowings
- Company directors signing personal guarantees or indemnities
- Borrowers required by a lender to obtain independent advice
- Parties to a related-party or non-arm's-length transaction
- Signatories granting a mortgage or general security agreement
- Spouses and partners signing over jointly held property
What the Advice Covers
What you are signing
The nature of the document, which obligations are yours personally, and which sit with the borrowing entity.
What you are exposed to
The amount you could be called on to pay, the assets at risk, and whether liability is capped or unlimited.
What triggers enforcement
The events of default, how they are commonly triggered in practice, and the lender's remedies.
How long it lasts
Whether the guarantee is continuing, what it takes to be released, and how it interacts with future facilities.
The Certificate
Issued in the form your lender expects.
Banks, private lenders and non-bank financiers each have their own certificate. I work from the lender's own form where one is provided, confirm the advice given, and send the executed certificate directly to the lender or its solicitors so settlement is not delayed.
Advice can be given by video or in person, and is documented in writing so you have a record of what you were told before you signed.
What to send
- The letter of offer or term sheet
- The facility or loan agreement
- Any guarantee, indemnity or security documents
- The lender's ILA certificate form, if provided
- Your settlement or signing deadline