Financing a B2L through the company

[b0redom]

Hi,
I've got a bunch of cash sitting in various business and personal accounts. I was considering spinning up a new company, MyCo Holdings (or similar) to buy a b2l through, and loaning the company money from myself personally, and topping it up with MyCo funds.

Has anyone done this? Any guidance? Pitfalls?

I'm aware that B2L isn't a golden egg, and plan on holding anything I purchase until retirement (~20 years), using any funds (once I've paid back myself and MyCo) to fund either further B2Ls or a SIPP.

Before NLUK chips in, I am asking my accountant, but she's not free until tomorrow afternoon, and I want to go at least a little prepared....

[Hobosapien]

I think one of the drawbacks is having to pay capital gains tax when come to sell the BTL, though same applies (maybe at a different rate) if held personally and don't live in it for x amount of time before selling (so not prime residence).

Though if there are no gains, such as if property prices come down as they need to, then you may be able to offset the losses against previous tax payments, so may be a winner.

[ChimpMaster]

Plenty of discussions about this already on CUK.

Have a search first but if you need more info feel free to contact me.

[northernladuk]

Before NLUK chips in, I am asking my accountant, but she's not free until tomorrow afternoon, and I want to go at least a little prepared....

I was actually going to suggest you tried a search first. This was asked only a week or so ago and plenty more times before that.