Ltd company and loans/mortgage

[fxdreams]

Hi

Over the last month or so a few local business people have been telling me about the benefits of ltd companies with getting finance.

I know what they tell me is usually hot air, but today another trader who came to do some work for me was telling me how easy it was for him to get a mortgage, and he's been trading under 12mths!

So, question is, if i had a ltd company, would it be easier to get finance in general and a mortgage?

Thanks

 

[akirk]

mmm

I would suggest talking to your bank manager...
you can not generalise in that way - someone trading for under 12 months will not be getting a mortgage based on having a LTD company - they haven't yet even completed their first financial year, and therefore will not have any annual accounts. A bank will usually want to see 2 to 3 years accounts...
They will make their judgement based on you not the business...

The way the question is phrased (apologies if this is a mis-reading) suggests that you are having problems getting finance / mortgage as an individual and you are wondering whether becoming a ltd company will help - almost definitely the answer is no.

Alasdair

 

[elaine@cheapaccounting]

So, question is, if i had a ltd company, would it be easier to get finance in general and a mortgage?

Thanks

A limited co with no trading history - I doubt it!

 

[dryansfe]

From very recent experience, having a Limited Company actually hinders your chances of getting a mortgage not help.