Do I need security or a personal guarantee for pub finance?

Most UK pub finance involves a personal guarantee from the licensee or director, and depending on facility size, security over equipment or the leasehold itself. Truly unsecured no-PG pub finance is rare. The exception is small unsecured working capital from fintech lenders, where a PG is still required but no asset security is taken.

Three patterns dominate UK pub finance. First, asset finance against new equipment (cellar cooling, kitchen, EPOS, signage): the asset is the primary security, but most lenders also take a PG from the licensee or director. Typical ticket £15,000 to £150,000 over 3 to 5 years. Second, merchant cash advance against card-machine takings: no asset security, but a PG and a charge over future card-machine receipts. Typical advance £10,000 to £250,000. Capify, 365 Business Finance and Liberis are the dominant UK MCA providers for pubs. Third, larger acquisition or refurbishment facilities: debenture over the trading company, charge over the leasehold (with landlord consent), plus PG from controlling directors.

Tied or leased pubs (Star Pubs, Greene King, Punch, Stonegate, Heineken-owned brands) need landlord consent for any charge over the leasehold or fixtures. Free houses on freehold can grant security freely. See will my brewery or landlord need to consent to any finance for the consent process.

UK Growth Guarantee Scheme protections. PGs taken under GGS-backed loans cannot be secured against the borrower's primary residence. This is a meaningful protection for pub borrowers and is worth checking explicitly when negotiating terms. See are there options backed by the UK Growth Guarantee Scheme for eligible pubs.

For PG-free routes generally see our no-PG loans guide.