What does personal guarantee mean?
A promise from an individual, often a director, to meet repayment obligations if the business cannot.
The exact meaning can vary depending on the asset, lender criteria, agreement wording and business circumstances.
Related finance product
Business Loans
Working capital for growth, stock, wages, projects, cash flow gaps and operational investment.
Written by: Hart Asset Finance
Reviewed by: T & L Leasing Limited trading as Hart Asset Finance
Last reviewed: