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hi im michelle welcome back to finally revealed in this episode i want to talk to you about guarantors a guarantor is a person or an company or other entity that signs a document to agree to be responsible for a debt it most often arises when someone goes a person goes in to borrow money for their company they are the owner of the company so it is a credit requirement of the lender that there be a guarantor most often when its your business that is borrowing the money and you are the owner you would be the guarantor because you are the one running the business and in charge of what decisions it makes so that it is in a position to repay the loan and also because the majority of the proceeds or income generated by the company would go to you as the primary employee and the owner now the lender has the makes the decision on whether or not the application for the loan by whoever is the proposed borrower whoevers borrowing the money whether there needs to be a guarantor another situatio