Mortgages for Self-Employed With One Large Client: What Lenders Look For
Many self-employed professionals earn most of their income from a single major client. This is common for contractors, consultants, freelancers and small business owners. However, relying on one dominant income source can raise questions during a mortgage application. Lenders want to understand whether this income is sustainable and whether your business model demonstrates long-term viability.
This guide explains how mortgages for self-employed with one large client are assessed, what documentation lenders require and how to strengthen your application. This article provides general information only and does not offer regulated mortgage advice.
Do Lenders Accept Self-Employed Borrowers With One Main Client?
Yes — many lenders will consider applications from self-employed borrowers whose income comes largely from a single client.
However, they evaluate these cases more closely because:
- Income may appear dependent on one relationship
- Business stability may be harder to evidence
- A sudden loss of the client could significantly reduce earnings
Lenders focus on proof of income continuity, professional history and financial resilience.
Who This Applies To
This scenario is especially common for:
- IT contractors
- Consultants
- Creative freelancers
- Self-employed tradespeople
- Sole traders with long-term service agreements
- Directors of limited companies working for one large client
The structure of your work matters less than your ability to show consistent, sustainable income.
How Lenders Assess Self-Employed Income From One Client
1. Length of Trading History
Most lenders require:
- At least 2 years of self-employed accounts or tax returns
- Some accept 1 year with strong evidence of sustainability
- A few look at 6 months for certain contractors on day-rate models
The longer your trading history, the more confidence lenders have in income continuity.
2. Stability and Continuity of the Client Relationship
Lenders look for evidence that your relationship with the main client is:
- Ongoing
- Reliable
- Contractually secured (where applicable)
- Not likely to end abruptly
Useful documents include:
- Contracts or service agreements
- Renewal letters
- Invoices showing consistent work
- Emails confirming contract extensions
3. Income Level and Consistency
Lenders analyse:
- Year-on-year income trends
- Whether income has grown or remained stable
- Whether reliance on one client affects long-term income forecasts
Large fluctuations may require additional explanation.
4. Type of Self-Employment Structure
Criteria differ based on how you operate:
Sole Traders
Lenders typically use the taxable profit figure from SA302s or tax calculations.
Limited Company Directors
Lenders may use:
READY TO GET STARTED?
Make a mortgage enquiry with Mortgage Bridge
If this guide relates to your situation, you can make a quick mortgage enquiry and we’ll be in touch to understand what you’re looking to do and how we can help.
Make a mortgage enquiry →No obligation. Mortgage Bridge acts as a mortgage introducer.
- Salary + dividends
- Salary + net profit
- Salary + retained profit (some specialist lenders)
How you draw income can impact affordability calculations.
Contractors
Some lenders use a day-rate model, multiplying:
- Daily rate × number of working days per week × 46–48 weeks
This often results in higher affordability, especially for IT contractors.
5. Financial Reserves and Business Strength
Lenders may consider:
- Business savings
- Emergency funds
- Low existing debt
- Evidence of good financial controls
A single-client business with solid financial management is viewed more favourably than one relying on overdrafts or short-term loans.
6. Industry and Professional Background
Your profession affects perceived risk. For example:
- IT, engineering and finance contractors are often seen as lower risk
- Creative industries may have less predictable demand
- Tradespeople with long-standing contracts are often viewed positively
Lenders will consider how stable your sector is and how transferrable your skills are.
7. Bank Statement Conduct
Lenders review personal and business bank statements for:
- Stable cash flow
- Regular income deposits
- Sensible spending patterns
- No unarranged overdrafts
- Timely debt repayments
Strong conduct can significantly improve lender confidence.
Challenges Self-Employed Borrowers With One Client May Face
1. Dependency Risk
Reliance on one client means income could stop suddenly if the contract ends.
2. Short-Term Contracts
Rolling contracts or 3–6-month agreements may require extra evidence of continuity.
3. Irregular Income
Invoicing patterns can create uneven cash flow, which lenders will examine.
4. Limited Accounts History
Newly self-employed applicants may need specialist lender support.
5. High Use of Personal or Business Credit
Recent borrowing or high utilisation may affect risk assessments.
What Documentation Lenders Typically Require
Prepare the following:
- Last 2–3 years’ SA302s or tax calculations
- Last 2–3 years’ accounts (if applicable)
- 3–6 months’ business and personal bank statements
- Current contract or service agreement
- Evidence of upcoming renewals or emails confirming continued work
- Company accounts (for limited companies)
- Background information on the business relationship
Having full documentation available strengthens the case significantly.
Common Scenarios and How Lenders Respond
Scenario 1: IT contractor with a long-term contract
Often approved by high-street lenders using day-rate calculations.
Scenario 2: Sole trader with one client for several years
Viewed positively if income is consistent and statements show stability.
Scenario 3: Newly self-employed with only one year of accounts
Some lenders may consider if income is strong and sector is stable.
Scenario 4: Limited company director taking low salary and high retained profit
Specialist lenders may use retained profit to increase affordability.
Scenario 5: Contract renewed every 6 months
Lenders may request evidence of continuous renewals or client correspondence.
How to Strengthen Your Application
(General Information Only)
Self-employed applicants often improve their mortgage prospects by:
1. Preparing strong evidence of ongoing work
Contracts, renewal emails and long-term client relationships help.
2. Keeping tax returns and accounts up to date
Lenders rely heavily on recent financial records.
3. Maintaining clean credit and bank conduct
Avoiding late payments and unarranged overdrafts builds confidence.
4. Building financial reserves
Savings demonstrate resilience during potential gaps in work.
5. Using lenders experienced with contractors and self-employed
Some lenders specialise in manual underwriting, offering greater flexibility.
Summary
Lenders do offer mortgages for self-employed with one large client, but they assess these cases carefully. They focus on:
- Length and stability of the client relationship
- Evidence of income consistency
- Structure of your self-employed business
- Accounts, tax returns and financial conduct
- Long-term sustainability of your work
With the right documents and preparation, many self-employed applicants successfully secure mortgages even when relying on a single major client.
This article provides general information only. For personalised guidance, regulated mortgage advice is required.
Check your credit in detail
Access your full credit report
See your complete credit information from all three major agencies with Checkmyfile. Try it free, then it’s a paid monthly subscription – cancel online anytime.
Get started now
Important information: Mortgage Bridge provides information only and acts as a mortgage introducer. We do not provide mortgage advice or make lender recommendations. We can introduce you to an FCA-regulated mortgage adviser who can provide personalised mortgage advice.