Repayment of director's loan after successful extention

[sky_rise]

Hi all,

will be thankful for reply - after getting an extension, can we repay 50k director's loan back - this will not be an issue for the ILR application at a later date?

regards

SR

[sm12]

What repayment dates did you show in the director's loan agreement?

[zimba]

If your money was FULLY spent then, I guess you can get it back from your revenues after the loan period is over.

[sky_rise]

What repayment dates did you show in the director's loan agreement?

it was for the period of 10 years - surely it does not mean one can not repay earlier?

[sky_rise]

If your money was FULLY spent then, I guess you can get it back from your revenues after the loan period is over.

all money was spent already.

[sm12]

What repayment dates did you show in the director's loan agreement?

it was for the period of 10 years - surely it does not mean one can not repay earlier?

Agreements can be changed if both parties are willing, but I don't know how the HO will view this.
You could perhaps pay yourself a salary instead, if that's an option?

[sm12]

If your money was FULLY spent then, I guess you can get it back from your revenues after the loan period is over.

all money was spent already.

If you've already spent the entire investment amount, then it should be ok.

[sky_rise]

What repayment dates did you show in the director's loan agreement?

it was for the period of 10 years - surely it does not mean one can not repay earlier?

Agreements can be changed if both parties are willing, but I don't know how the HO will view this.
You could perhaps pay yourself a salary instead, if that's an option?

Agreement was between two parties, which is only myself basically.

Salary would be taxed, which is why it is a question.

[sm12]

Agreement was between two parties, which is only myself basically.

Salary would be taxed, which is why it is a question.

True, but as a company is a separate legal entity, just ensure that the paperwork is in order. Other than that, as you have already spent the original investment, I guess it's ok.

[sky_rise]

Agreement was between two parties, which is only myself basically.

Salary would be taxed, which is why it is a question.

True, but as a company is a separate legal entity, just ensure that the paperwork is in order. Other than that, as you have already spent the original investment, I guess it's ok.

thank you very much - all should be in order then!