Navigating Company Structure Lending: Why Simplicity Matters

The rise of complex company structures in the property market brings fresh challenges and opportunities for landlords. Securing the right financing is crucial:

• The surge: Demand for lending through corporate structures is soaring. In 2023, Keystone reported that 75% of their applications were via corporate structures.
• The appeal: Tax benefits, reinvestment flexibility, and easier asset transfers within families drive this trend.

The complexity catch: Layered structures (where ownership sits with multiple companies) require lenders with specific expertise and the options can be limited.

You need to know:

• Acceptable Standard Industrial Classification (SIC) codes
• Director requirements
• Shareholding thresholds
• Credit profiles (company and directors)

The good news: With rising demand and competitive rates, a wider range of specialist mortgage products are emerging.

Our experienced team are available to go through the options available to you.

Published June 2024

It is important to take professional advice before making any decision relating to your personal finances. Information on this page is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored advice and is for information purposes only.