Are there regulations that allow or prohibit a business from being added to a personal loan as a guarantor? I know that a business can pledge collateral, but I don't know if they can take liability for the debt.
There is no regulation addressing this. The problem is that a business, unlike a person, can go away. Even if a person dies there is an estate, but a business entity can be formed and can be closed, leaving nothing behind. So the lender may not see an advantage in having a business take on the liability of a person.
Many businesses are well established and will go on for a longer time than any of the business owners. If the business is strong and adds value to the lender, they could allow them to assume all or a part of the liability of a personal debt.
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There is no regulation addressing this. The problem is that a business, unlike a person, can go away. Even if a person dies there is an 