Can I lend money to my sons business

I am about to lend 50k to my sons limited liability company and am wondering if there are tax implications. I could lend it to him personally but feel it might be liable to gift tax that way. I am not charging interest and he is to pay me back the capital over five years. Just wondering if I lent it to him personally and he then lends it to the company is that in any way better for him or does it make any difference?

I'd advise you not to lend the money to your son. Not for any legal or financial reason.
What if he defaults on paying you back ? How will that affect your relationship with your son ?

And would the loss of €50k affect you significantly in the future ? Ie. Affect your retirement plans etc.

Lend it to the company and the company can pay you back. If you loan it to your son, he has to earn €50k net to pay you back (any accountants can correct me if I'm wrong on this).

But as the previous reply stated, is €50k an amount you can afford? Does your son have a good business with a likelihood of success (be honest)

SBarrett said:

Lend it to the company and the company can pay you back. If you loan it to your son, he has to earn €50k net to pay you back (any accountants can correct me if I'm wrong on this).

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He doesn't actually. He simply lends the money in turn to the company and, all going well, the company repays him and he repays the OP.