What is the meaning of Completion Guarantee?

A Completion Guarantee is given by the guarantor to the financier of the film which protects him/her from any financial turbulence which leads to increase in costs and thereby overall financing requirements. It involves a bond which states that the film will be completed in the slated time within the schedule which has been agreed on before. In case of the schedule overrun the guarantor takes suitable action for the protection of the interests of the financier. The guarantor, in turn, makes an agreement with the film producer which gives a detailed account of the commitments and liabilities of the latter for completion of the film.

However, these are not commonly used as the concept of film financing is new in the country.