Quote Originally Posted by James Hubbard View Post
If some of the money that goes through the business is from a directors loan, then I don't see how it's deceptive. I see it as investing money into the business that is later paid as salary. It's really not like recycling money. Although, I do have a few people interested in a business I have been thinking of setting up. Only a few people though.

Maybe I should start my company with a directors' loan, and then, when the company's funds are low, I can loan to the company again, until it gets on its feet.

Meanwhile, I shall still be able to draw a salary and add to my savings.

Does that sound sensible?
I tend to side with jb on the deception angle, none of these ideas are new and it would be common knowledge if it was a winnable method. I think they would view it as a sham company and start asking for evidence of trading, business bank accounts (try opening one it's not easy), statements from Accountants.