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  • Overview

    The implications for a guarantor can be far reaching and the specific terms of the personal guarantee should be considered carefully.

    In the aftermath of the recession, the requirement for a personal guarantee from a director or shareholder has become standard practice whenever a small company looks to borrow money from a bank. Whilst personal guarantees may now be an unavoidable part of raising finance for small businesses, it is important for the people providing guarantees (the guarantors) to be aware of the implications and consequences involved.

    Associate, Fiona Jewell, covers the concerns in full in December's Director of Finance.

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