Does my credit score affect my business partner?

Shabsee

Hi everyone, I'm a newbie so I hope I'm posting this in the correct forum.....

I would like to set up a LTD company with a business partner. The problem is I have a CCJ and a default and his credit score is really good. If we registered as co-directors would my credit score affect his?

I was offered some advice by someone who said if I registered as the director and my partner as a 50% shareholder then opened the bank account this would not affect his score. Then once the bank account was opened, he could then be registered as a co-director.

Would this work?

Any advice would be greatly appreciated

Thank you
Shabsee

DCFC79

Credit scores wont even come into it as lenders don't see them.

Tixy

Being co-directors and or co-shareholders of a limited company will not make you financially associated on your credit files.

So no your personal credit file will not affect his personal credit file.

The Limited company's business bank account will also not show on either of your personal credit files.

fruitisbad

I have read that when starting a new business the creditworthyness of all directors may be searched if you are looking for credit until you've been going a few years and have posted accounts.

Shabsee

Thank you everyone for your replies.

I think we'll try and go ahead to start up a Ltd company in both of our names.