{"id":3691,"date":"2016-10-06T10:52:30","date_gmt":"2016-10-06T14:52:30","guid":{"rendered":"http:\/\/www.nationaltransaction.com\/credit-card-merchant\/?p=3691"},"modified":"2023-04-21T12:14:50","modified_gmt":"2023-04-21T16:14:50","slug":"personal-guarantee","status":"publish","type":"post","link":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/personal-guarantee\/","title":{"rendered":"PERSONAL GUARANTEE"},"content":{"rendered":"<p>A personal guarantee is an agreement. The&nbsp;<em>guarantors<\/em>&nbsp;are responsible for repaying the loan with their personal assets; if a&nbsp;<em>business<\/em>&nbsp;is unable to finish repaying a loan.<\/p>\n<p>This type of agreement is commonly&nbsp;required when you borrow capital from any bank; and also applies to many business credit cards.&nbsp;Traditionally, it is signed by anybody who at least owns 25% of the business.<\/p>\n<p><em><strong>Different Types of Agreements: <\/strong><\/em><\/p>\n<p>Some of them offer more protection for you and your business partners.<\/p>\n<p><strong>Unlimited Guarantee &#8211; <\/strong>is the only agreement&nbsp;available for a single-owner business, there&#8217;s a possibility that limitations are negotiable with your lender upon the agreement.<\/p>\n<p><strong>Limited Guarantee<\/strong> &#8211; the type of guarantee that are being used for businesses with multiple business partners are signing for a loan.<\/p>\n<p><em><strong>Two different types of limited guarantee:<\/strong><\/em><\/p>\n<p><strong>Several Guarantee &#8211;&nbsp;<\/strong>&nbsp;means that you and your partner are responsible for a set percentage of the outstanding capital and legal fees. It&nbsp;is more desirable because each partner knows and agrees to how much they\u2019ll be responsible for ahead of time.<\/p>\n<p><strong>Joint and Several Guarantee &#8211;&nbsp;<\/strong>This type of agreement could lead to problems between you and the other guarantors if something should go wrong because&nbsp;each guarantor is responsible for the full amount of the <a href=\"https:\/\/www.nationaltransaction.com\/\">loan<\/a>.<\/p>\n<p>Read the fine print before signing a contract.<\/p>\n<p><strong>&nbsp;&nbsp;<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A personal guarantee is an agreement. The&nbsp;guarantors&nbsp;are responsible for repaying the loan with their personal assets; if a&nbsp;business&nbsp;is unable to<\/p>\n<div id=\"more-button\"><a class=\"btn btn-more excerpt-more\" href=\"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/personal-guarantee\/\">Continue Reading<\/a><\/div>\n","protected":false},"author":2,"featured_media":3694,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[69],"tags":[199,14,423],"class_list":["post-3691","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-best-practices-for-merchants","tag-bank","tag-credit-cards","tag-loan"],"_links":{"self":[{"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/posts\/3691","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/comments?post=3691"}],"version-history":[{"count":5,"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/posts\/3691\/revisions"}],"predecessor-version":[{"id":4982,"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/posts\/3691\/revisions\/4982"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/media\/3694"}],"wp:attachment":[{"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/media?parent=3691"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/categories?post=3691"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nationaltransaction.com\/credit-card-merchant\/wp-json\/wp\/v2\/tags?post=3691"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}