UK business set-up advice
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- flashbender
After having a 'real' salaried job for 3 years, I've decided it might be time to go back to freelancing/consulting/contracti... again.
My previous freelancing was all done as PAYE through an agency, but this time around I'm in it purely for myself and want to set up a company.
I'm sure there's a fair few of you on here who have done this, so any advice you can give regarding how long it takes, the cost, sole trader vs. limited company, the best way to do it (yourself or through a solicitor...) any of that or other words of wisdom would be most welcome.
Thanks buds.
- MSL0
Not all of this will apply, and maybe it's not appropriate - but the Business side of it is covered here (towards the end): https://medium.com/p/fe625e5bb1d…
- flashbender0
looks like what i was looking for right there:
If you’re in the UK, I would recommend setting up yourself up as a limited company rather than as a sole trader. There’s less risk and would mean your personal items aren’t at risk if the worst of the worst happens. You can easily set up a limited company through sites like CompaniesMadeSimple (just get the “printed package”). It will take around 15 minutes to complete and around 4 hours later, you will be the proud owner of a business.
- Morning_star0
^^
Just be aware that by setting up a Limited Company in the UK you must legally adhere to all the regulations surrounding Tax/Accounts/Directors. Inland revenue will also be a little more suspicious.If you are a Director you will be required to produce two sets of accounts, one for the company and one for yourself. Ultimately the Limited Company is a safer option BUT it's more work and more complex.
If i was you i'd become a sole trader and find yourself a good accountant. It'll cost you £30 a month and they do all you tax bullshit for you.
- microkorg0
+1 to find a good accountant.
If you find a good accountant that uses good software like http://www.freeagent.com/ then you're onto a win-win situation.
On-going rock-solid accounts where you can see all your current ins-outs, history, accounts, what you're owed etc etc all VERY easily and it's not all a last minute rush at the end of the tax year to get your shit together.I'd recommend the LTD Company route too.
- fadein110
Depends on your circumstances in regards to sole trader vs Limited co.
If you are going to be procuring a lot on behalf of clients and require credit AND want protection if the worse happens - go Limited. If not being a sole trader (with a good accountant) is far more convenient and less costly. But do remember you are personally liable for any debts stacked up by your 'business'.
- flashbender0
Hey pals. Thanks for all the info, that pretty much gives me all I need to know.
- Done both Sole trader and limited. Would suggest going ltd. from the start.babaganush