1. If my limited company closes will it affect my personal credit rating. 2. I only own 50% of the business, could I buy myself out of 50% of debt?
A limited company is a separate legal entity to an individual and debts registered against the company do not reflect on the Directors’ credit ratings, nor are they personally responsible for the debts. The exception to this is where Personal Guarantees are signed with a bank – if the debts are defaulted on, the individual is personally liable and it will definitely affect their credit rating. Regarding the second question, this depends on whether you signed Personal Guarantees or not. If not, you do not personally owe anything to anyone.
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