Between submitting an application and accepting a loan offer, things can change at your company — a director leaves, a new contract is signed, a large customer pays late. Here is what you need to disclose and what effect it might have.
Changes you must disclose
You are expected to tell us if material circumstances change between application and acceptance. Material changes include:
- A director resigns or is removed — particularly if they were a key person assessed during underwriting.
- A significant adverse event — such as a large customer going into administration, a major contract being cancelled, or a tax demand that significantly affects cashflow.
- Legal proceedings or insolvency risk — if a winding-up petition is filed, or if you receive a CCJ that was not present at the time of application.
- A material change to revenue — if your trading position deteriorates significantly between application and acceptance.
Proceeding with a facility where material circumstances have changed without disclosure could affect the validity of the agreement.
Changes that do not typically affect your offer
- Routine business changes — a member of staff joining or leaving at a non-director level.
- A new contract signed that improves your financial position (though it is worth mentioning this as positive context).
- Minor adjustments to registered details (address change).
How to disclose a change
Contact us as soon as possible using the General Support Enquiry form or via your account manager. Describe the change and how it affects the company. We will advise whether the offer stands, whether it needs to be revised, or in rare cases, whether the application needs to be withdrawn and resubmitted.
Does disclosure always mean the offer is withdrawn?
No — disclosure does not automatically mean the offer is cancelled. Many disclosed changes are manageable within our assessment framework. However, not disclosing a material change that later comes to light is a more serious issue and could affect our working relationship with your company.
See also: What happens if company circumstances change before drawdown?, Understanding your business loan offer, Can I submit additional information to support my application?.