Home Business Tenancy (AST) Guarantee and Indemnity
This Home Business Tenancy (AST) Guarantee and Indemnity is a simple one-page document in which a guarantor promises to pay the rent if the tenant fails to do so and to compensate the landlord for any loss caused by the tenant’s breach of the terms of the tenancy agreement.
It also includes an indemnity which is a separate obligation to the guarantee, which provides greater protection for the Landlord. An indemnity obliges the Guarantor to compensate the Landlord for loss or damage and is not dependent on the tenant’s obligations being enforceable.
Landlords are likely to ask for a guarantor if the tenant does not have a satisfactory credit history or references.
The proposed form of the Home Business Tenancy Agreement should be annexed to this document so that all parties know what the extent of the guarantor’s liability is.
Under the Tenant Fees Act 2019 landlords and/or letting agents in England are prohibited from charging any fees associated with requesting a guarantor to a tenancy caught by these acts (this includes referencing fees and administration fees).
This document is in open format. Either enter the requisite details in the highlighted fields or adjust the wording to suit your purposes.
Once you have purchased access to the appropriate document folder click on the “Download Document” button below. You will be asked what you want to do with the file. It is recommended that you save the document to a location of your choice prior to viewing.