Company director mortgage

speed1972

Hi

I'm pulling my hair out trying to understand what figures a lender will use.

Both myself and the OH are 49% shareholders
We get paid the PEL salary of £7956 each and the rest is dividends.
I've instructed a broker and updated him with figures last week but I think I've made a cockup.

I run a PL report that shows net profit at month 11 of £61k, So our 49% would be approx £29k each plus the £7956 so approx £75k in total.

However the 61K hasn't had corporation tax paid YET. That would take it down to £48k 'ish. Which would mean income of £65k 'ish after tax.

£10k short of what I told the broker last week.

If a lender wants to see the books will they use the £61k (minus the 2%) plus our salaries £15k making £75k

Or do I need to do a boat load of extra work to make up the shortfall.


Help
M

amnblog

Some Lenders use the gross pre tax figures, some the net, speak to your broker.