Although not all business loans require a personal guarantee, many lenders will ask you to sign this type of document in order to secure your loan.
Generally, a lender will be more likely to ask for a personal guarantee if you aren’t offering up any other form of collateral on the loan. Therefore, if you’re looking for a business loan without a personal guarantee, you’ll want to explore options like inventory or equipment financing—both of which are self-collateralizing (the inventory or equipment itself serves to secure the loan).
Bank loans, term loans, and even lines of credit, on the other hand, are much more likely to require personal guarantees. In fact, SBA loans require a personal guarantee in almost every instance.