Lease always requires personal guarantee???

[Aussie2U]

If your a small business owner and leased your car through the company, were you still required to sign a personal guarantee? I'm not crazy about having to do this when the company has had good financials and credit since it's inception 15 years ago. Dealers are giving me the blanket statement that "everyone must do this", so I would appreciate feeback.

[pdiack]

Originally Posted by Aussie2U

If your a small business owner and leased your car through the company, were you still required to sign a personal guarantee? I'm not crazy about having to do this when the company has had good financials and credit since it's inception 15 years ago. Dealers are giving me the blanket statement that "everyone must do this", so I would appreciate feeback.

I have 2 leased BMW's thru a company - 1 thru BMW Finance - yes, I did a PG - the other thru Chase - no PG.

BTW - the company is a C-corp about 10 years old - good D&B report (80+ paydex score) if this helps but I don't think it ever got pulled.

[Aussie2U]

Thanks for the reply. In my case the company is a 15 year C-corp that has prior leases with Mercedes Credit Corp. I just believe the corp can hold it's own and does not need me to back it. I was wondering if the dealer gets a better rate he's not disclosing on leases he can get a personal guarantee on?