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Setting up a Public Limited Company

Discussion in 'SMB' started by TheWanderer, Sep 18, 2018.

  1. Kent_Mackem

    Kent_Mackem Striker

    You can also have your contract and working practices reviewed by IR35 experts who will pass/fail you - and will defend you in court (provided it passes) should you get investigated and called in to court.
     
  2. Qualcast Mutilator

    Qualcast Mutilator Full Back

    THIS...

    I had my own Limited Company for about 5 years, and one of the reasons I jacked it in was because IR35 was just a whole can of worms that even HMRC don't seem to understand...

    Walked away from the IT Contracting altogether in the end. Daily Rates fell through the floor, and it was becoming a hassle to get work close to home. Took a permie role instead...

    Not as lucrative, but a shit load more secure and less stressful...

    But, if you really want to do it, seriously speak to an Accountant.

    I used these guys:

    Contractor Accounting specialists for Limited Company contractors

    Spot on.
     
    Flared Hicks likes this.
  3. Aye, but you said he wanted a limited company not a plc, when a plc IS limited
     
  4. MackneyHackem

    MackneyHackem Midfield

    :rolleyes:
     
  5. PTR

    PTR Striker

  6. dcl0sc

    dcl0sc Striker

    :lol::lol::lol::lol::lol::lol:
     
  7. True, n’est pas?

    :rolleyes:
     
  8. Slightly related question...

    You have to be VAT registered if your business is earning or expects to earn £85kpa

    Can you register your company for VAT if you only expect to earn £60k?

    The obvious advantage is that you can legitimately claim the VAT back off any business-related expenditure, so I'm wondering if there are any disadvantages...

    Thanks in advance.
     
  9. Wilfy

    Wilfy Striker

    Think you would be put in a scheme where you charge the VAT at 20% but give the VAT man about 18%. Less hassle and you click a little bit. @girojim will be able to tell you better than me like.
     
    Ben Gardner likes this.
  10. Not sure if they still do it but they used to have different schemes for different industries which simplified the return process as a percentage of turnover otherwise the return requires accurate record keeping and a faff in with submitting the return.

    Depends also whether your competition is also VAT registered as all goods & services you supply, unless exempt, will be subject to VAT thus increasing the cost to your customer base by 20%. Not usually too bad if you’re mainly selling to other VAT registered businesses but could put you at a distinct disadvantage if you’re mainly consumer focused.
     
    Ben Gardner likes this.
  11. girojim

    girojim Striker

    You can voluntarily register yes. Obviously you have to charge VAT on your sales and pay it over to HMRC.
     
    Ben Gardner likes this.
  12. As an absolute aside, once I saw on that other thread that the lass on your avatar is a porn star I googled her, ended up watching a couple of her videos and had a wank. Felt guilty for wanking over your avatar bird though, so thought I'd come clean, pardon the pun, and admit my sin. Anyway, back to all this company shit that I don't understand!
     
    girojim likes this.
  13. Thanks for that. What if the business revenue is generated by things like procuration and referral fees?
    The business in question doesn't actually make anything per se, they just do stuff for people. A bit like a mortgage broker.
    Are those services liable to VAT, too?

    Sorry to bother you un-necessarily :oops:

    haha, talk about going off on a tangent!
    yeah, she's a lovely little thing, isn't she?
    let's keep this thread to business-related matters, though, eh?
     
    Last edited: Sep 21, 2018
    Guinness Guzzler likes this.
  14. Shack

    Shack Midfield

    I would advise you do some reading to gain an understanding of your options as a contractor. I started with an umbrella company as I had no idea how long I'd be contracting and it was all new. After a lot of reading I had the confidence to set up the limited company and go that route. I just use an online company for doing my accounts (Crunch Accounting). I enter most of the info myself etc. and they do the yearly checks/approval. I do my own self-assessments to directly into HRMC online. Piece of piss when you take the time to sit down and educate yourself. I would also argue you should do that anyway even if you have a more hands-off approach.
     
  15. Yes. Or are you just hoping to receive a net income from HMRC for the VAT amount reclaimed from your purchases without them accessing your bank accounts, Companies House records, Income Tax returns etc?

    For the amount you’d be reclaiming, the VAT man is the one person whose attention you do not want to flag.
     
  16. Thanks for that. Years ago, when I was unhappily married, the missus had her own retail business and I actually enjoyed doing the double-entry book-keeping, Simplex D and all that.
    I can't imagine the principle have changed at all, just the execution.
    Bizarrely, the VAT that was claimed back on a quarterly basis became a half-decent revenue stream!

    Indeed, I'd do it properly. The way the income would come in, it'd be very difficult to hide (anyway).
    Still pie in the sky and all that, but thanks for the advice. Really appreciate it.
     
    Shack likes this.
  17. You just answered my question.

    I’ll look out for the case in years to come. Start lubing up now.
     
  18. SPUFF

    SPUFF Striker

    :p

    VAT registration - the pros and cons
     
    Ben Gardner likes this.
  19. girojim

    girojim Striker

    I think they are liable to VAT yeah, so you'd have to add an extra 20% on top of them
     
  20. King Kareoke

    King Kareoke Winger

    The VAT Flat Rate Scheme is still available - although the rates are not as good as they once were if you are classed as incurring low costs. Anyone can voluntarily register for VAT. From April 2019 if you are above the threshold remember that you will need to submit VAT returns under the Making Tax Digital regime. Umbrella companies are still there - often though you will get a more personal service from your own accountant (and I am not just saying that as a practicing accountant).

    Happy to chat if you want to
     

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