A personal guarantee reduces a lender’s risk by making you personally responsible for repayment. Most small-business loans require a personal guarantee. In fact, 59% of business debt holders have secured their debt with a personal guarantee — according to the Federal Reserve Banks’ Small Business Credit Survey
[1]
.
Signing a personal guarantee can boost your approval odds and may help you get better rates and terms. Getting financing without one is possible, but it depends on factors like your business finances and history, available collateral and lender policy.
We’ll start with a brief questionnaire to better understand the unique needs of your business. Once we uncover your personalized matches, our team will consult you on the process moving forward.
Terms to know before you dive in:
-
Cosigner: an individual you trust to take over loan payments if you can’t make them.
-
Collateral:…
