Protect home from SBA personal guarantee

by an investor from University of California, Berkeley - Haas School of Business

3 years ago

I'm considering an SBA 7(a) loan that comes with a personal guarantee. Is there a legal way to exclude a home from the personal guarantee, for example by moving it into a trust before the SBA loan is taken out? Any advice would be greatly appreciated.

1 like
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18 comments

searcher from Northwestern University - Kellogg School of Management

If you don't have a house, you can't PG it. Sell the house, close the loan, buy another house PG-free.

1 week ago | like reply | 0 likes

searcher from University of Pennsylvania - The Wharton School

I would recommended looking into a HELOC. In my case the bank wouldn't put a lien on the house due to the HELOC at a high LTV

1 month ago | like reply | 0 likes

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