Ltd Company Loss and PAYE employment

selfemployed2019

Hi,

Just wondering if anyone on here could offer some advice. Am waiting to see a mortgage broker but just trying to get a head start...

Husband and I looking for a mortgage. I am self employed but straightforward and have 8 years of good wages of accounts certified by accountant. My husband is also self employed and has 7 years of accounts (no accountant) BUT he makes 90% of his wage through PAYE employment where he pays tax/NI at source- not a permanent position but he has worked freelance for this same company for 8 years. He also has a Limited Company of which he is one of two directors. They have been registered for two years and made a loss both years. This is entirely separate from both his self employed work and his PAYE work. Complicated. Will anyone consider us for a mortgage with the Ltd Company losses...?

Thanks in advance.

csgohan4

you need a good broker to match you to a lender, don't DIY it

TrickyDicky101

Does he have any personal guarantees he's made to the company making losses? Or owe that company any money eg if he has taken a director's loan?

selfemployed2019

Thanks for your responses.

No personal guarantees or money owed. Neither of us have any debt.

Am hoping as his income is entirely separate from the company we might be ok (with a good broker)!?

TrickyDicky101

From a legal point of view (and unless he is accountable for the company trading whilst insolvent) the company is an entirely separate legal entity and nothing that happens to it should impact him.

However, from reading posts here it is obvious that lenders don't necessarily base their decisions exclusively on the legalities so yes I think a competent broker familiar with the situation and lenders' requirements would be a very good idea.

selfemployed2019

Thank you. Yes am sure we probably won’t have a straightforward process and always planned to use a broker but it is reassuring to hear it might not be an immediate red flag. Fingers crossed....

Thanks again