What businesses typically need a personal guarantee in order to receive a loan?

Question

Quizplus · Accepted Answer

Typically, small businesses need personal guarantees in order to receive a loan. This is because they may not have established credit or collateral to secure the loan, and the lender wants to ensure they will receive repayment. Large businesses may also need personal guarantees in certain circumstances, but it is less common. It is rare for businesses to receive a loan without a personal guarantee.

What Businesses Typically Need a Personal Guarantee in Order to Receive