Personal guarantee exposure checker
Directors are frequently surprised by how much they have personally guaranteed once they add it all up. Banks ask for a guarantee on the loan or overdraft, asset finance providers ask for one on the equipment, the landlord asks for one on the lease, and a key supplier asks for one on the trade account, and each is signed separately months or years apart. If the company fails and those debts are unpaid, the creditors can pursue you personally for the guaranteed amounts, which is why the first thing to do when a company is in difficulty is to total your real exposure. The good news is that guaranteed amounts are often negotiable once the company is in a formal process, so the headline figure is your ceiling, not your fate. Add your guarantees below to see where you really stand, then take advice on how to handle them as part of the wider plan.
Add up your guarantees
Indicative maximum exposure. Many guarantees are negotiable in a formal process and some are unsecured. Check the wording of each.
Common questions
Will I have to pay my personal guarantees in full?
Guaranteed amounts are often negotiable once the company enters a formal process, and there may be defences. The headline total is your maximum exposure, not necessarily what you will pay. Take advice before agreeing anything.
Are personal guarantees secured on my home?
Only if the guarantee specifically used your home as security, or a creditor later obtains a charge through court. Many guarantees are unsecured. Check exactly what you signed. See personal guarantees.
Speak to a Licensed Insolvency Practitioner
Tell us briefly what is happening and we will arrange a free, confidential, no obligation call with a Licensed Insolvency Practitioner. The earlier you get advice, the more options you usually have.
Free, confidential and no obligation. We are an independent information service and introduce directors to a Licensed Insolvency Practitioner. This is general information, not regulated advice.