What Does it Mean to Be a Personal Guarantor?
Across the board financial institutions have tightened their reins on lending. As a result, business owners are expected to become personal guarantors for whole or partial loan amounts that they would like to take up. In fact, this has become a business norm. A personal guarantee has become a necessary evil to business owners. Becoming personal guarantors adds to the risks that a business owner assumes. But without which a business owner may be unable to fund a business expansion plan or buy inventory required to stay in business.