According to the 2025 Cool Binz FDD, Cool Binz International, LLC requires a personal guaranty from specific individuals associated with the franchisee entity. If the franchisee is a corporation, each shareholder and their spouses must execute the personal guaranty. If the franchisee is a partnership, each general partner and their spouses must execute it. Similarly, if the franchisee is a limited liability company, each member, manager, and their spouses must execute the guaranty.

The personal guaranty ensures that Cool Binz International, LLC receives full payment and performance of the franchisee's obligations. It legally binds the individuals to the terms of the Franchise Agreement, including restrictions on assignment. This means that these individuals are personally liable for the financial and operational responsibilities of the franchise.

The FDD specifies that the personal guaranty must be in the form attached as Exhibit D to the Franchise Agreement or in another form prescribed by Cool Binz International, LLC. This requirement protects Cool Binz by ensuring that the company can seek recourse directly from the franchisee's owners or partners if the business entity fails to meet its obligations. This is a common practice in franchising, as it provides an additional layer of security for the franchisor.