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hi everybody marco carbaja here from businesscreditblogger.com todays blog post were going to talk about what is a personal guarantee theres a lot of questions surrounding the pg what it is why do you need to supply a personal guarantee are there ways around it and why there are some ways theres no way to avoid it so lets get down to the nitty gritty on personal guarantees first of all what a personal guarantee is it is a written promise from you the business owner guaranteeing that the business will pay its financial obligations in the event of default that you are the one whos going to guarantee or back the business now why is it that lenders creditors banks suppliers why do they require a personal guarantee most importantly its its more of a an assurance for them that the business is going to pay its financial obligations so by you as a business owner providing the pg its an added level of protection for the lender or for the bank its giving them that added assurance now i