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hello and welcome to this program titled an overview of personal guarantees this program is another in the 10 minute tips program series for credit and collection professionals my name is Michael Dennis Ill be the presenter today lets begin introduction a guarantor accepts responsibility for paying a debt if a company or person for whom the guarantee is being offered fails to do so in business-to-business debt collections one of the most common guarantees that is sought by the creditor company is a personal guarantee often what happens is that the credit grantor will ask the business owner to guarantee the debts that have been incurred by the company and that may sound counterintuitive but the point is that were trying to get the business owner to become personally liable for the debts of the company so by signing a personal guarantee the guarantor becomes personally liable for the debt you should be aware that normally a personal guarantee thats being signed by an individual in su