How do I protect my personal assets when

2 min read

Limited liabilityYour shield

Avoid PGsWhere possible

Keep separateCompany vs personal

How the protection works

A limited company is a separate legal person, so its debts are its own — limited liability means your personal assets are not on the line for company borrowing. The exception is a personal guarantee, which deliberately sets that protection aside. So the single most effective step is to borrow where no guarantee is required.

Practical steps

Keep a clean line between company and personal money — separate accounts, a properly recorded directors' loan account, no informal mixing. Where a guarantee is unavoidable, negotiate a cap, a time limit, or guarantee insurance. Credicorp lends to the company with no personal guarantee, so your home and savings stay outside the arrangement entirely.

What it means for you

Credicorp lends to your company, not to you personally, and takes no personal guarantee. See business loans or apply online.

Frequently asked questions

Does limited liability always protect me?

Largely, yes — unless you sign a personal guarantee, act fraudulently, or trade wrongfully while insolvent. Keeping finances separate and taking advice if the company struggles preserves the protection.

Can I remove a personal guarantee later?

Sometimes. As the company strengthens you can ask the lender to release or reduce it, or refinance to a lender that does not require one. It is worth revisiting rather than assuming it is permanent.