1, which shall be decided by the board of directors or the general meeting of shareholders according to the provisions of the Articles of Association;
2. Where the articles of association stipulate limits on the total amount of investment or guarantee and the amount of individual investment or guarantee, it shall not exceed the prescribed limits.
3. If a subsidiary has more than one shareholder, if it wants to provide a guarantee for one shareholder, it needs to be approved by more than half of the voting rights held by other shareholders, not including that shareholder.
4. For the wholly-owned subsidiary, when providing guarantee for the parent company, there is no harm to the interests of other shareholders. Even if there is the possibility of harming the interests of the wholly-owned subsidiary or other creditors, the company or creditors have the right to demand the parent company to bear the liability for damages according to the provisions of Article 20 of the Company Law or by introducing the system of denying the corporate personality.
Risk warning: Precautions for the subsidiary to guarantee the parent company:
1. If its subsidiary is a listed company, it is prohibited to provide guarantee for its controlling parent company.
2. Non-wholly-owned subsidiaries shall abide by relevant guarantee laws and regulations.
3. The subsidiary is a wholly-owned subsidiary and needs to pay attention to the articles of association.
4. If the parent company is a listed company, its wholly-owned subsidiary is allowed to guarantee it, but the parent company itself needs to disclose the announcement.