Your Reliable Personal Guarantee Specialists

Whether you are being pursued under a personal guarantee(PG), also known as a director guarantee, looking for guidance before signing one or need to extract yourself from a limited company personal guarantee, this is all that we focus on at Personal Guarantee.

Signing a personal guarantee (PG) as assurance for business credit can feel like the only option. And the pressure of getting the finance in place can mean that the wider company and personal implications of signing a personal guarantee are often not given the attention they need.

We have helped resolve thousands of cases worth over one hundred and thirty million pounds over the last 16 years, serving guarantors of businesses throughout the UK, much of which has been helping people subject to personal guarantee enforcement action.

With that experience we are best placed to manage the process of dealing with personal guarantees, ensuring business owners and directors remain informed and best protected throughout the process.

Years of experience enables us to deliver in-depth and proactive guidance so that you can understand the full implications of the documentation you are about to sign, a demand that is being made against you and understand whether a personal guarantee is enforceable.

Whether it’s for a business loan, trade supply deal, asset lease agreement, or any other type of business related PG, working together we can ensure you receive considered and timely advice that will allow you to make an informed decision.

Helping You to Reduce your Guarantee Liabilities

We understand how much time and energy is invested into the growth of your business.

Falling into financial difficulty can be hard to avoid in this tough economic climate. This is especially true for owners and directors of SME’s who are made personally responsible for outstanding debt, heavily impacting on their professional and personal lives.

If a PG is called on an owner or director it can understandably cause stress and concern.

However, in most cases there is a solution available that will enable you to manage the situation to avoid bankruptcy, court proceedings or losing your home, and in a few instances, allowing you to reduce your liability and in possibly negate the liability in its entirety.

With a PG claim, we can communicate with organisations, to strike a deal on your behalf.

We will reach an agreement that suits both parties, no matter how complicated your situation. We take the time to understand the unique challenges you need to overcome. We then put together a bespoke plan that will help you navigate towards a manageable solution.

Understanding Personal Guarantees

A PG is an agreement drawn up by a lender or supplier to provide security against the credit they are providing to the business. That can be anything from a bank loan to a supplier of goods or services. It means the individual is willing to take personally guaranteed liability for any debts incurred by their company in the event the business is unable to service the debt.

The reasons why a business owner or director may be willing to commit to a PG are many. Fundamentally they ensure SME’s are able to access much needed funding that perhaps wouldn’t be available to them elsewhere. In fact most in today’s market a personal guarantee is essential for most finance and in some instances is the only security a lender will rely upon.

Unfortunately, on most agreements, lenders do not have to wait for liquidation or administration procedures to begin before they call in a PG. As soon as the business declares it is unable to repay, the lender is able to request that the outstanding balance is fulfilled. By seeking independent guidance, there are a number of ways to reduce the guarantor’s liability.

Pros and Cons of a Personal Guarantee


Help in securing financial funding

The main advantage of signing a PG is it may improve the chances of securing much needed cash or credit that will support the business. For SME’s this sort of cash injection can sometimes be crucial to them staying in business.

Enables your business to grow

Companies of all sizes often require additional funding that will allow them to expand. Without it, they may never be able to achieve their short and long-term goals. However, the worst case scenario should always be considered when offering a guarantee, taking into account the possibility of becoming personally liable for any unpaid debt.


Greater Risk

The opportunity of securing funding that could offer greater reward for the company also comes with a higher personal ratio of risk. Directors are not typically pursued by creditors in most circumstances, but signing a PG gives them the opportunity to look beyond seeking a return from the business.

This is a particularly poignant issue when funds are being borrowed to dig a business out of trouble; it is important to ensure all options have been considered before borrowing good money after bad.

Impact on Personal Life

The business entering insolvency is often a worst case scenario for most directors. In the event where a PG has been offered, personal and joint family assets could become involved, potentially making the difficult situation of a business failure even worse.

Expert Help That Can Make a Difference

There are clear advantages and disadvantages involved with signing a PG. While they can offer benefits that can support your business, the risks should always be taken into consideration before reaching a final decision.

If you are researching funding options for your business and are unsure whether offering a PG is the right move for you, then our specialist team are on hand to assist. We are also available to help owners and directors who are being pursued by creditors in relation to a previously signed agreement. We can even assist if the Personal Guarantee is not being demanded upon but you wish to terminate the guarantee without necessarily affecting the credit arrangement that is in place. Some guarantees can be open to question as to their enforceability, and we will quickly identify if this is the case for you.

Even in the most complex of situations there is a solution available to suit your circumstances. While we are not solicitors, we help you find a way out of your predicament thanks to years of experience negotiating with institutions and companies of all sizes. We also offer free initial review to give you the confidence that your interests are always at the forefront of our service.

Why Choose Personal Guarantee?

We have a proven-process for client success

Proactive, Ongoing Assistance and Guidance

Knowledge and Resource in Banking and Finance

Expertise in Settlement and Case Resolution


6 Essential Tips to Resolve Your Personal Guarantee Issues – lots of help to start the process and keep you informed. Access our 8-page PDF now.