Some lenders work on net profits of the irrespective of how much you pay yourself. Therefore if you have not stripped everything out of the business this can work in your favour. Also, higher costs do not impact on turnover but would impact on net profits!

Some lenders take 100% divi's, some take 50% and some now ignore divi's altogether !!

The area of income and affordability is difficult due to Le Crunch and the fact that all lenders have their own criteria...your only way of getting answers is to speak to the Lenders and ask the question.

hi, I’m new to the forum and hope that this is the type of question that people ask.

About 18 months i set up a limited business, things are going well and i'm looking to move and borrow more money. The main problem i have is that i have no proof of income, technically i work for my company as an employee but i pay myself a nominal salary (6k) then share dividends’. i also own 100% of the shares.

can anyone recommend the best way to get a mortgage in this situation? or have any other business owners had similar problems? I’m looking at putting down a 25% deposit, then borrowing the rest. The first years accounts look ok, but have been made to look worse due to the start up costs that i incurred. i am aware the normal situation in this problem is to file 3 years accounts, then you multiply the profit by a multiplier the mortgage companies set.

any advice would be much appreciated!