Banks are careful to secure their lending. Advances to a private company are normally secured by charges on assets and guarantees from the shareholders.

If the company fails, the latter's hope is that the assets will realise enough when sold to pay off the bank – their own solvency may otherwise be at stake.

Shareholders' protection in those circumstances has been limited to the equitable duty of the bank or receiver to take care to obtain the best price reasonably obtainable.