Big Tone started this topic @ 13:04 on 12/01/2010
Can anyone tell me the definition of working from home please?
Like many mortgage lenders, mine stipulates that I am not allowed to run a business from home but I’m not sure if this means registered or, like so many, making money from buying and selling on ebay?
Can I create a web site offering services or is their gripe that I can’t stock my garage full with goods to sell?
I'm sure it’s quite black and white and I’m just being stupid or lazy, or both, but maybe there are clauses or ‘get arounds’ to this restriction? Please don’t get me wrong - I’m an honest person and CRB checked out of necessity for my job.
There has been a rumbling from Cameron on this very matter recently where he stated he would like to lift this restriction in the interest of promoting businesses, (although I can’t find a link to his words), but are they able or allowed to interfere with a binding contract between me and the mortgage lender which then let’s me work from home?
Personally, I think it’s petty that you can’t work from home and TBH I would bet many do. I can’t see a Mortgage official cold-calling on all their customers to check this.
When I worked in America, my boss started working from his garage and was allowed to do so before expanding to build his empire. Is this the typical American dream verses English nightmare difference rearing its ugly head again?
First post so please be gentle with me.
RE: Working from home
HowAssociates | 14/01/2010 03:59 PM
My bet would be that most haven't read the small print of their mortgage in as much detail as you and just run the business from home regardless. I would think the chances of being found out are probably zero unless you convert the house into a shop.
Unless they monitor companies house regularly and cross check every address they have a mortgage on I cant see that they would know. Only thing I would say is dont open your business bank accounts with the bank that provides your mortgage as most likely they will cross check their in house systems
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RE: Working from home
Big Tone | 15/01/2010 11:22 AM
Good points and thanks 
I guess I should just learn not to sweat the small stuff. It's not like I'm dealing in contraband or drugs...
Newport Pagnell, I see. I went down there on my motorbike back in ~76 to the factory where Aston Martins were made 
Cheers
Tony
RE: Working from home
virtuallysorted | 18/01/2010 12:40 PM
I suspect the mortgage lenders have this clause in there so that they assess the house's value based on its residential value rather than business value. Let's say you buy a factory on a residential mortgage. The lender looks at it and says "Wow! This is a really big house - that'll be worth £1,000,000 and this guy only wants to borrow £120,000 - safe bet, let's get that one signed off!!" You default on the mortgage they try and sell the factory and it's clear that if it was a proper residential property it would be worth £1,000,000 but as a factory it's only worth £100,000 - oops! They've got a fairly large hole in their books.
It's also about insurance. They can't be held responsible if the postman trips over/your business accounts get destroyed in a fire/you lose your computer records in a flood. These are business objects, not personal objects.
And it's also about business zoning and people not having mad amounts of deliveries etc.
I could be wrong - anyone else know why they have this rather strange clause?
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