Selling a business can be structured in different ways, and what happens to a Credicorp facility depends on how the sale is done. The one constant is that the debt belongs to the company, not to you personally.
A share sale: the company keeps the facility
If the buyer acquires the company's shares, the company — and its facility — continues; the new owners take on a business that still has the loan and its repayment schedule. Tell us about a change of control so our records and contacts are correct, and so the new directors are set up to manage payments. See who can authorise payment changes.
An asset sale: the facility usually needs settling
If instead the buyer takes the trade and assets but not the company, the borrowing company will typically need to settle the facility as part of the deal, because it stays with the selling company. Request a settlement figure for the completion date — see requesting a settlement figure and giving a statement for refinancing or a payoff.
Talk to us early
Whichever route, tell us as soon as a sale is likely so we can help it complete cleanly. See proving your loan balance to a third party for the due-diligence documents a buyer will want.
We lend only to UK limited companies and LLPs, and the loan is to the company with no director personal guarantee. As business finance arranged outside the consumer-credit regime, it is not covered by the Financial Ombudsman Service or the FSCS, though you can still raise a complaint with us and we will handle it fairly.
See also: Requesting a settlement figure, Proving your loan balance to a third party, Who can authorise payment changes?.