What if the signer lacks authority?

If the signer cannot demonstrate authority, the guarantor may decline or require a corporate resolution. Attach a signed board resolution or officer certification showing explicit approval to avoid invalidation.

Is an electronic signature acceptable?

Electronic signatures are generally valid under the ESIGN Act (15 U.S.C. ch. 96) and UETA in most states, provided intent, consent, attribution, and retention are documented.

Does the request require notarization?

Notarization requirements vary by guarantor and state. Some guarantors request notarized signatures or RON; confirm requirements before submission to avoid execution delays.

How to correct an error after sending?

If an error is discovered, prepare an amendment or corrected request and mark the prior copy as superseded. Obtain re-signatures from authorized signers to ensure enforceability.

What supporting documents are most critical?

Financial statements, the underlying contract or invoice, evidence of collateral, and proof of signer authority are the most common documents guarantors require for underwriting.

How long does underwriting take?

Underwriting typically takes 3–10 business days but may extend if additional due diligence or collateral documentation is required. Communicate expected windows to stakeholders.

Business Aval Request

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

BUSINESS AVAL REQUEST

Requesting Company:

Guarantor / Respondent:

Request Reference

Request Date: Instrument / Obligation Reference:

RECITALS

WHEREAS, Requesting Company seeks an aval (guarantee endorsement) to secure payment or performance under the financial instrument identified above, in the principal amount of ; and

WHEREAS, Guarantor has represented that it has the corporate authority to issue an aval and to assume secondary liability on the instrument subject to the terms set forth in this Agreement; and

WHEREAS, the parties desire to set forth the scope, payment terms, confidentiality obligations, term and termination rights, and governing law applicable to the issuance of the requested aval.

SCOPE OF WORK

Description of Requested Aval and Related Obligations:

PAYMENT TERMS

Principal Aval Amount:

Payment Schedule and Consideration

Late Fee for Delinquent Reimbursement: % per annum on overdue amounts, which shall accrue from the date payment is due until paid in full. In addition to the late fee, the defaulting party shall bear reasonable collection costs and attorneys' fees incurred in enforcing payment.

TERM AND TERMINATION

Commencement Date: Expiration Date:

Termination on Notice: Either party may terminate this Agreement for convenience by delivering written notice at least days prior to the intended termination date; provided, however, that termination shall not relieve Requesting Company of any liability or obligation arising under any aval issued prior to the effective date of termination.

Cure and Effect of Termination: Upon written notice of default by Guarantor, Requesting Company shall have a cure period of 15 days to remedy the default. If not cured within the cure period, Guarantor may draw on the aval consistent with the instrument and applicable law.

CONFIDENTIALITY

Each party shall treat all non-public business, financial and transactional information disclosed in connection with this request as confidential, shall not disclose such information to third parties except as required by law or to their professional advisors bound by confidentiality, and shall use such information solely to effectuate the purposes of this Agreement. Confidential information shall remain the sole property of the disclosing party.

Confidentiality Acknowledgement: I acknowledge and agree to the confidentiality obligations set forth above.

GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of the State of , without regard to its conflicts of law principles. Exclusive venue for disputes shall lie in the competent courts of that jurisdiction unless the parties mutually agree otherwise in writing.

REPRESENTATIONS; WARRANTIES

Each party represents and warrants that: (a) it is duly organized and in good standing under applicable law; (b) it has full power and authority to enter into and perform this Agreement; and (c) execution and performance of this Agreement will not violate any material agreement, law, or regulatory obligation applicable to such party.

ENTIRE AGREEMENT

This Agreement, together with any schedules or attachments executed contemporaneously, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous understandings, agreements, representations and warranties, both written and oral. No amendment or modification shall be effective unless in a written instrument signed by authorized representatives of both parties.

NOTICES

Requesting Company Address for Notices Guarantor Address for Notices

ADDITIONAL PROVISIONS

Execution: This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument. A photocopy or electronic image of a signature shall be deemed an original for all purposes.

Requesting Party:

By:

Date:

Guarantor / Respondent:

By:

Date:

What a Business Aval Request Is

A Business Aval Request is a formal written request from a company asking a bank or guarantor to issue an aval (guarantee) for payment or performance on a commercial instrument. It typically accompanies supporting financial statements, an explanation of the underlying transaction, and evidence of authority to bind the requesting entity. The request documents the amount, term, parties involved, and any collateral or covenants the applicant offers. Use clear identification of the applicant, beneficiary, and obligor to reduce processing delays and to ensure the guarantor can complete routine due diligence.

Why a Proper Business Aval Request Matters

A correctly prepared request clarifies obligations, shortens underwriting time, and reduces the risk of rejection or delay. It establishes intent, identifies responsible parties, and provides the guarantor the data needed to evaluate credit and collateral quickly.

Who Typically Prepares and Reviews These Requests

Business Aval Requests are used by finance, treasury, and legal teams when seeking third‑party guarantees for commercial obligations.

Corporate treasury or CFO teams preparing guaranty support and credit data for the bank
Legal or contracts departments reviewing indemnities, governing law, and signature authority
Operations or procurement teams providing transaction details and beneficiary contact information

Ensure internal signatories and external contacts are aligned before submission to avoid review cycles.

Who Signs and Why

Brian Fitzgibbons, COO

As COO, responsible for operational approvals and ensuring the Business Aval Request aligns with company policies. Typically coordinates internal signatories, compiles financial exhibits, and confirms that the requested guarantee amount matches contract terms before submission.

Chief Financial Officer

The CFO or authorized delegate normally certifies financial data and signs funding or guarantee requests. Their signature indicates corporate approval of the exposure and any collateral or covenant terms attached to the aval.

Essential Information to Include

Applicant Name: Full legal entity name

Beneficiary: Name of party to receive guarantee

Request Amount: Numeric amount and currency

Term Dates: Start and maturity dates

Authority: Signer name and title

Supporting Docs: Financials, contracts, collateral

Step-by-Step: Completing the Business Aval Request

Follow these steps in order to prepare a complete, reviewable request and avoid common delays or escalations.

01

Prepare Data: Gather financial statements and contract references
02

Complete Form: Enter applicant, beneficiary, amount, and dates
03

Attach Evidence: Upload contracts, invoices, and collateral documents
04

Obtain Signatures: Get authorized signers to sign and date

Where to Send a Completed Business Aval Request

Routing depends on the guarantor's intake process. Typical submission channels and what each requires are below.

Bank Relationship Manager: Submit signed request plus financial exhibits
Guarantor Underwriting Desk: Provide detailed contract and collateral information
Secure Upload Portal: Use portal upload with encrypted files
Email to Legal Contact: Send signed PDF and execution evidence

Customizing an Online Submission Workflow

Configure an online workflow to collect fields, attachments, and signer authentication in a single process.

Field	Configuration
Required Fields	Applicant, beneficiary, amount, dates
Attachments	Allow PDFs, DOCX; require contracts and financials
Authentication	Email link or SMS code; add KBA if needed
Conditional Logic	Show collateral fields when amount exceeds threshold

Technical Options for eSubmission and Signing

Ensure the platform retains an audit trail and allows secure downloads of the signed request and attachments.

File Formats: PDF, DOCX accepted
Integrations: CRM and ERP connectors
Authentication: Email, SMS, or KBA

Timelines and When to Expect Decisions

Processing time varies by guarantor and complexity; provide realistic timelines to stakeholders up front to manage expectations.

Initial Acknowledgement:

1–3 business days typical

Underwriting Review:

3–10 business days depending on complexity

Additional Due Diligence:

May add 5–15 business days

Final Decision:

Often within 2–4 weeks

Document Execution:

Signing and delivery within 1–3 business days

Key Milestones in the Aval Request Lifecycle

Track these milestones to monitor progress from submission to execution and to flag delays early.

01

Submit Request

Sender uploads the completed request and attachments for review

02

Underwriting Review

Guarantor reviews credit, collateral, and contract terms

03

Request Clarifications

Guarantor asks for missing or clarified documentation

04

Approval and Issuance

Guarantor issues aval or declines request

Common Mistakes That Cause Delays

Incomplete financial exhibits or out-of-date statements that force underwriters to request replacements and extend review time.
Mismatched entity names between contracts, invoices, and tax IDs causing identity verification issues and possible rework.
Missing authorized signature evidence such as corporate resolutions, which can require board signoff and add days.
Vague description of the underlying obligation or incorrect contract references that create uncertainty about the guarantor's exposure.

Risks and Consequences of an Incorrect Request

Rejection or Delay: Request returned or processing time extended

Credit Exposure: Undisclosed liabilities increase risk

Invalid Guarantee: Improper signatory may void aval

Financial Penalties: Contractual damages may apply

Operational Impact: Project or shipment delays

Reputational Risk: Counterparty confidence reduced

Key Components of a Professional Request Package

A complete package anticipates underwriting questions and bundles the request with clear exhibits and approvals to speed decisioning.

Cover Letter

A concise summary that identifies parties, transaction purpose, requested amount, and contact info so the guarantor quickly understands the request context.

Financial Statements

Recent audited or compiled financials demonstrating ability to support exposure; include cash flow projections if relevant and concise notes.

Underlying Contract

Attach the contract, invoice, or purchase order that creates the obligation the guarantor will evaluate for coverage and term.

Collateral Details

If collateral is offered, include appraisals, liens, or security descriptions and indicate priority or encumbrances affecting enforceability.

Corporate Authority

Board resolutions, power of attorney, or officer certification showing signer authority to bind the applicant to guarantee terms.

Execution Instructions

Specify whether originals, notarization, witnesses, or electronic signatures are accepted and include delivery instructions for completed documents.

How a Business Aval Request Differs from Other Guarantees

Compare typical features to distinguish a Business Aval Request from commercial guarantees and surety bonds.

Criteria	Business Aval Request	Commercial Guarantee
Purpose	payment guarantee	broader indemnity
Typical Signers	applicant cfo or ceo	surety company
Notarization	varies by guarantor	often required
Enforceability	contractual guarantee	statutory surety rules

Common eSignature Providers for Submitting and Signing Aval Requests

Platforms vary by price, bulk capabilities, and compliance features. signNow is listed first for direct comparison of typical capacity and cost.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Trial varies	Trial varies	Trial varies	Trial varies
Bulk Send	Yes (Business Premium)	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No

Real-World Examples of Aval Requests

These condensed examples show how organizations package a request to speed decisioning and execution.

Optica Ventures — Operational Guarantee

Optica submitted a detailed cover letter and financials to support a vendor payment guarantee

Request emphasized a single invoice and short term
With a complete package the guarantor processed the request faster, reducing vendor payment delay and preserving the commercial relationship.

Tech Data — Integration with ERP

Tech Data routed requests through its ERP with attached contracts and credit memos

The request linked to an internal PO and aging report
Centralized submission reduced back-and-forth and allowed parallel underwriting and contract review, shortening cycle time.

Practical Tips for Faster Approval

Adopt consistent document standards and internal checklists to prevent avoidable review cycles and ensure requests are underwriter-ready.

Use a Submission Checklist Every Time

Create and require a checklist that confirms entity naming, EIN, contract references, financial exhibits, and signer authority to reduce omissions and rework.

Standardize Document Formats and Naming

Deliver PDFs with searchable text, consistent file names, and clear exhibit labels so reviewers can find and verify items quickly.

Confirm Signer Authority Up Front

Attach corporate resolutions or officer certifications when required to avoid execution delays or requests for additional proof.

Track and Communicate Timelines Clearly

Provide internal stakeholders with expected acknowledgement and underwriting timeframes and update them proactively when clarifications are requested.

Frequently Asked Questions About Business Aval Requests

Answers to common questions about completeness, signatures, authentication, and next steps when a guarantor requests clarification.

Need help? Contact support

What if the signer lacks authority?
If the signer cannot demonstrate authority, the guarantor may decline or require a corporate resolution. Attach a signed board resolution or officer certification showing explicit approval to avoid invalidation.
Is an electronic signature acceptable?
Electronic signatures are generally valid under the ESIGN Act (15 U.S.C. ch. 96) and UETA in most states, provided intent, consent, attribution, and retention are documented.
Does the request require notarization?
Notarization requirements vary by guarantor and state. Some guarantors request notarized signatures or RON; confirm requirements before submission to avoid execution delays.
How to correct an error after sending?
If an error is discovered, prepare an amendment or corrected request and mark the prior copy as superseded. Obtain re-signatures from authorized signers to ensure enforceability.
What supporting documents are most critical?
Financial statements, the underlying contract or invoice, evidence of collateral, and proof of signer authority are the most common documents guarantors require for underwriting.
How long does underwriting take?
Underwriting typically takes 3–10 business days but may extend if additional due diligence or collateral documentation is required. Communicate expected windows to stakeholders.

be ready to get more

Join over 28 million airSlate SignNow users

Sign Now