{"data":{"id":"us/13-cfr-108.820","jurisdiction":"us","citation":"13 CFR 108.820","heading":"Financings in the form of guarantees.","body":"(a) General rule. At the request of a Small Business or where necessary to protect your existing investment, you may guarantee the monetary obligation of a Small Business to any non-Associate creditor.\n(b) Exception. You may not issue a guaranty if:\n(1) You would become subject to State regulation as an insurance, guaranty or surety business; or\n(2) The amount of the guaranty plus any direct Financings to the Small Business exceed the overline limitations of § 108.740, except that a pledge of the Equity Securities of the issuer or a subordination of your lien or creditor position does not count toward your overline.\n(c) Pledge of NMVC Company's assets as guaranty. For purposes of this section, a guaranty with recourse only to specific asset(s) you have pledged is equal to the fair market value of such asset(s) or the amount of the debt guaranteed, whichever is less.","path":["Title 13—Business Credit and Assistance","CHAPTER I—SMALL BUSINESS ADMINISTRATION","PART 108—NEW MARKETS VENTURE CAPITAL (“NMVC”) PROGRAM","Subpart I—Financing of Small Businesses by NMVC Companies"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-13.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:24:18Z","sha256":"c5b2954fbcbfa0d3536093e04d11004b10f0eb07e807eeda1ab7330ae6abd2d0","source_id":"us-cfr","stale":true,"prev":"us/13-cfr-108.800","next":"us/13-cfr-108.825"},"notice":"GroundRules: Original legal text. Not legal advice."}