09 July 2024
When drafting a letter as a Chartered Accountant (CA) on behalf of a company to request the waiver of a loan by a director, it's important to structure it professionally and clearly. Here's a general outline and key points to include in such a letter:
### Sample Letter Outline for Waiving Loan by a Director
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**[Your Name]** **[Your Position]** **[Your Company Name]** **[Address of Your Company]** **[City, State, Zip Code]** **[Date]**
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**[Recipient's Name]** **[Recipient's Position]** **[Lender's Name (if applicable)]** **[Address of Recipient/Lender]** **[City, State, Zip Code]**
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**Subject: Request for Waiver of Loan by Director**
Dear **[Recipient's Name or Sir/Madam]**,
I hope this letter finds you well. I am writing on behalf of **[Company Name]** as their Chartered Accountant to formally request the waiver of a loan extended to our director, **[Director's Name]**.
### Introduction
- **State the Purpose:** Begin by clearly stating the purpose of the letter – to request the waiver of the loan extended to the director.
### Background Information
- **Loan Details:** Provide details of the loan, including the amount, purpose, terms of repayment (if any), and any relevant dates. - **Director's Contribution:** Highlight the director's role, contributions to the company, and any circumstances that necessitate the waiver request.
### Justification for Waiver
- **Financial Condition:** Explain the financial situation of the director and how repaying the loan might be burdensome or challenging. - **Company Benefit:** Emphasize how granting the waiver would benefit the company, potentially by allowing the director to focus on their responsibilities without financial stress.
### Assurance and Commitment
- **Commitment:** Assure the recipient that the company is committed to its financial responsibilities and that this request is a measure to ensure the smooth operation and growth of the business. - **Future Measures:** Mention any steps the company plans to take to avoid such situations in the future.
### Conclusion
- **Request Confirmation:** Kindly request confirmation of receipt of the letter and the recipient's decision on the waiver request. - **Contact Information:** Provide contact information should there be any questions or if additional information is required.
### Closing
- **Thank You:** Conclude with a thank you for considering the request and express hope for a favorable response.
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**Yours sincerely,**
**[Your Name]** **[Your Position]** **[Your Contact Information]** **[Company Name]** **[Enclosures: List any enclosed documents, if applicable]**
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### Notes:
- Ensure the letter is typed and formatted professionally. - Customize the details to fit the specific circumstances and policies of your company. - Obtain necessary approvals before sending the letter, especially if it involves financial decisions.
This structure should help you draft a clear and persuasive letter requesting the waiver of a loan by a director on behalf of the company.
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