Can the company also be made responsible to pay back the loan itself, as well as the interest?
In: 19
It does sound strange, but it makes some legal sense if you break it into two pieces.
Think about buying a house. When you buy a house, you put down a certain amount of money and the bank gives you a loan for the rest using the house as collateral. The thought being they can take the house if you ever fail to pay them back and it will be valuable enough to repay the loan. The idea in a business is the same, the expectation is that you will not drive the business into the ground so if will still have value.
The second half is once a company is private property, you can do whatever you want with it. So having the company pay back the bill is your right as the owner.
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