Your share of borrowing you have guaranteed, set against life cover that would pay the lender.
It multiplies the borrowing by your share of the guarantee and takes off the cover you already hold that would pay this debt.
Under joint and several liability your share is 100%, whatever your shareholding.
Whether cover suits you, what kind, and whether it should be written in trust. That is regulated advice from our advisers.
Finance is subject to status and to the lender’s terms. A personal guarantee makes you liable for the company’s debt if it does not repay, and it can be enforced against your own assets, including your home. Nothing here is a personal recommendation.
The monthly repayment on a business loan, the interest over the term and the total you repay with the arrangement fee.
Work it out →Two loan offers side by side: the monthly payment, the total repaid with fees, and the difference in pounds.
Work it out →Your profit against all your loan repayments, new and existing, as the cover ratio a lender works out.
Work it out →Your first call is with an Account Manager and is at no cost to you. Tell us what is on your mind: a pension you have lost track of, a fixed rate ending, a will you keep meaning to write.