Changing company name on mortgage application

thegentleway

I'm putting my B2L into a company. I've used GetGround to create the company (called X) and applied for mortgage at 3.49%
I didn't know the name of the company at the time of the mortgage application so made one up (called Y) under the assumption that I would be able to change it.
My broker says I can't change it, he would have to re-apply and the rate is now 4.19%
I've asked GetGround to change the company name but they say it's against their T&Cs
Are there any ways around this?
E.g. Can I create company Y then get company X to buy company Y?

user1977

thegentleway said:

I've asked GetGround to change the company name but they say it's against their T&Cs

Is it your company yet? It's up to the shareholder(s) whether to change the name.

thegentleway

user1977 said:

thegentleway said:

I've asked GetGround to change the company name but they say it's against their T&Cs

Is it your company yet? It's up to the shareholder(s) whether to change the name.

Yes it is, 3 officers: my partner and I are both directors and GetGround is the secretary

K_S

@thegentleway I'm assuming that the broker has spoken to the lender before confirming that a new application would be needed. I've never had this scenario with any of my clients but sounds logical to me.

Afaik, it's fairly straightforward to change the company's name and get the details on Companies House updated accordingly.

eddddy

K_S said:

Afaik, it's fairly straightforward to change the company's name and get the details on Companies House updated accordingly.

Yep - but the OP says:

thegentleway said:

Yes it is, 3 officers: my partner and I are both directors and GetGround is the secretary

So can the company name be changed without the secretary's (GetGround's) approval? And...

thegentleway said:

I've asked GetGround to change the company name but they say it's against their T&Cs

Presumably, GetGround are providing secretarial services - and the OP's contract with GetGround says the company name mustn't be changed.

So even if it's possible to change the name of the company without the secretary's approval, it sounds like it would put the OP in breach of contract.




@thegentleway perhaps it's worth double checking that the contract really does say that the company name mustn't be changed and/or try to persuade GetGround to be more flexible.

Or can you terminate the current contract with GetGround (without losing too much money), and enter into a new contract with them, and set up a new company with the "correct" name?

user1977

eddddy said:

K_S said:

Afaik, it's fairly straightforward to change the company's name and get the details on Companies House updated accordingly.

Yep - but the OP says:

thegentleway said:

Yes it is, 3 officers: my partner and I are both directors and GetGround is the secretary

So can the company name be changed without the secretary's (GetGround's) approval?

Yes, it needs a special resolution - which is of the shareholders. The secretary doesn't have a veto.

Correct that there might be some other restriction in the contract with GetGround, though I can't think of a reason why they'd care about you changing the company name?

theartfullodger

thegentleway said:

I'm putting my B2L into a company. I've used GetGround to create the company (called X) and applied for mortgage at 3.49%
I didn't know the name of the company at the time of the mortgage application so made one up (called Y) under the assumption that I would be able to change it.
My broker says I can't change it, he would have to re-apply and the rate is now 4.19%
I've asked GetGround to change the company name but they say it's against their T&Cs
Are there any ways around this?
E.g. Can I create company Y then get company X to buy company Y?

Surely it's not you applying for the mortgage but the company applying.. Kinda obviously flows from that the issue you have??  Trying to reduce tax bill?? 

thegentleway

K_S said:

@thegentleway I'm assuming that the broker has spoken to the lender before confirming that a new application would be needed. I've never had this scenario with any of my clients but sounds logical to me.

Afaik, it's fairly straightforward to change the company's name and get the details on Companies House updated accordingly.

Indeed but I can't do it online without the authentication code from Companies House, which was sent to GetGround.

thegentleway

eddddy said:

K_S said:

Afaik, it's fairly straightforward to change the company's name and get the details on Companies House updated accordingly.

Yep - but the OP says:

thegentleway said:

Yes it is, 3 officers: my partner and I are both directors and GetGround is the secretary

So can the company name be changed without the secretary's (GetGround's) approval? And...

thegentleway said:

I've asked GetGround to change the company name but they say it's against their T&Cs

Presumably, GetGround are providing secretarial services - and the OP's contract with GetGround says the company name mustn't be changed.

So even if it's possible to change the name of the company without the secretary's approval, it sounds like it would put the OP in breach of contract.




@thegentleway perhaps it's worth double checking that the contract really does say that the company name mustn't be changed and/or try to persuade GetGround to be more flexible.

Or can you terminate the current contract with GetGround (without losing too much money), and enter into a new contract with them, and set up a new company with the "correct" name?

I've read the T&Cs and can't see anything about name changes. It says one month notice for termination but it's not clear if there are any fees.

thegentleway

user1977 said:

eddddy said:

K_S said:

Afaik, it's fairly straightforward to change the company's name and get the details on Companies House updated accordingly.

Yep - but the OP says:

thegentleway said:

Yes it is, 3 officers: my partner and I are both directors and GetGround is the secretary

So can the company name be changed without the secretary's (GetGround's) approval?

Yes, it needs a special resolution - which is of the shareholders. The secretary doesn't have a veto.

Correct that there might be some other restriction in the contract with GetGround, though I can't think of a reason why they'd care about you changing the company name?

The customer support specialist wrote "it allows us to efficiently access and serve ongoing maintenance to your company" as the reason.

thegentleway

theartfullodger said:

thegentleway said:

I'm putting my B2L into a company. I've used GetGround to create the company (called X) and applied for mortgage at 3.49%
I didn't know the name of the company at the time of the mortgage application so made one up (called Y) under the assumption that I would be able to change it.
My broker says I can't change it, he would have to re-apply and the rate is now 4.19%
I've asked GetGround to change the company name but they say it's against their T&Cs
Are there any ways around this?
E.g. Can I create company Y then get company X to buy company Y?

Surely it's not you applying for the mortgage but the company applying.. Kinda obviously flows from that the issue you have??  Trying to reduce tax bill?? 

Yes, I'm trying to reduce tax liability by putting my B2L into a company. Presumably this is the reason most LLs put their B2Ls into companies. Why is this an issue?