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09-08-2017, 11:34   #21
Chez2
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Originally Posted by Cyclone View Post
I run a close service company, I'm an IT contractor. It's the most common form of limited company in the country!
I would expect most small businesses (which a sole trader probably is) to join the VAT flat rate scheme, which makes it all pretty simple, although the advantages of that scheme have just been removed for the IT industry as well.

I do exactly the same re salary/dividends, the advantage is calculated in black and white on that link I provided, it's small and getting smaller.
You missed the point I was making. Most companies are buying and selling goods and services so will carry out lots of transactions, hence managing their own accounts and VAT returns. Most of these that I know don't use flat rate VAT scheme. The flat rate scheme, in my experience, tends to be used by individuals or tradesman with only a couple employees.

A lot of businesses that call themselves small businesses are actually micro businesses.

Here are various ways of defining size of business:

https://www.thecompanywarehouse.co.u...what-is-an-sme
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09-08-2017, 12:24   #22
Cyclone
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We're talking about a sole trader though, so he'll have zero employees, the business size is going to be very similar to mine!
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09-08-2017, 12:37   #23
Waldo
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Quote:
Originally Posted by Cyclone View Post
How much do you pay them?
Does that mean that you calculate your own quarterly VAT and monthly payroll notification?
I think they charge 450+vat per year for limited company accounts (I keep my own records, they prepare and submit accounts and return to HMRC). I'm not registered for VAT, so don't know if that would be extra with them. I used to do my own PAYE (using HMRC's basic PAYE tools, not that hard) but recently switched to their payroll system (had a few issues submitting my own PAYE RTI thing when HMRC's servers were down).

They're a small-ish setup, I think around 4 or 5 employees, and the chap who looks after me is friendly, approachable, seems pretty fair and decent and professional.
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09-08-2017, 12:45   #24
Chez2
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Quote:
Originally Posted by Cyclone View Post
We're talking about a sole trader though, so he'll have zero employees, the business size is going to be very similar to mine!
A sole trader business owner can have employees. I know of businesses that have been running for years with several employees and several vehicles.
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09-08-2017, 12:49   #25
Cyclone
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Fair enough, well the OP seems to have lost interest anyway.
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09-08-2017, 16:48   #26
DerbyTup
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Originally Posted by Chez2 View Post

It depends on your business type and customers how sole trade and limited affects you and your customers. We sell business to business and our customers perceive there to be a difference between sole traders and Limited. There perceptions aren't always justified but that's our experience from talking to them.
I was going to say similar.

I set up my own private limited company 7 years ago when I decided to become self employed. The kind of companies I work for are large multi-national firms, FSTE Top 100 type. My chances of getting work through them if I was a sole trader would be slim. They like to think they are trading with a major corporation rather than some bloke working out of his back bedroom. In fact, they are trading with some bloke working out of his front bedroom.
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10-08-2017, 10:47   #27
Goooooogle
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A big advantage of being a director of a ltd company is you can stuff lots of cash into a pension .

Up to 40,000. And often much more if you have not paid up to your allowance in prior years.
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10-08-2017, 14:03   #28
nowt2pctoday
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Quote:
Originally Posted by Goooooogle View Post
A big advantage of being a director of a ltd company is you can stuff lots of cash into a pension .

Up to 40,000. And often much more if you have not paid up to your allowance in prior years.
correct the company pays in for you and thats just one of the advantages of being LTD, there are some who comment here that think they know alot, jack of all trades comes to mind. always going to be tax efficient if your profits are above the allowance. if you keep your accounting costs down and even then if you have others doing the paperwork it leaves time for you to earn more.
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10-08-2017, 17:25   #29
Cyclone
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Quote:
Originally Posted by Goooooogle View Post
A big advantage of being a director of a ltd company is you can stuff lots of cash into a pension .

Up to 40,000. And often much more if you have not paid up to your allowance in prior years.
Is this not possible for sole traders? They presumably get a full tax rebate on any monies paid into a pension...

---------- Post added 10-08-2017 at 17:26 ----------

Quote:
Originally Posted by nowt2pctoday View Post
correct the company pays in for you and thats just one of the advantages of being LTD, there are some who comment here that think they know alot, jack of all trades comes to mind. always going to be tax efficient if your profits are above the allowance. if you keep your accounting costs down and even then if you have others doing the paperwork it leaves time for you to earn more.
The company pays for it in the same way a sole trader would pay for it, out of monies that clients pay them...
I've posted a link that shows you exactly how tax efficient it is, the savings are small and getting smaller.
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Ask yourself, what would Chuck Norris do?
Youtube videos, snowboarding, climbing, bad drivers.
https://www.youtube.com/channel/UCmn...qpXEZMGnJHf3Wg
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14-08-2017, 03:28   #30
Seanjohn27
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http://seans-services-s2.business.site

Take a look at my example above, this is my company in development, I have the staff ready,a few cars.. and nearly vans available.. I have a code to publish this website to register with Google.. then I will be applying for a fund for self employed startup with the gov.. obviously they would say yes with what I have done .. that's when I rent a warehouse to extend storage etc.. and declare it a ltd company.. hope this helps
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14-08-2017, 08:42   #31
Chez2
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Seanjohn27 - you will be an employee of your own company if its an incorporated limited company. This isn't actually called self employed, look at the link I have given earlier.

I would change your opening hours on your website, it doesn't look professional in my opinion. It gives the impression someone will pick up the phone at any time of the day or night. If this is not the case, alter it. It will also encourage calls outside regular 'acceptable' hours.
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14-08-2017, 09:21   #32
nowt2pctoday
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Quote:
Originally Posted by Seanjohn27 View Post
http://seans-services-s2.business.site

Take a look at my example above, this is my company in development, I have the staff ready,a few cars.. and nearly vans available.. I have a code to publish this website to register with Google.. then I will be applying for a fund for self employed startup with the gov.. obviously they would say yes with what I have done .. that's when I rent a warehouse to extend storage etc.. and declare it a ltd company.. hope this helps
sorry matey but that is about the most unprofessional web page i have ever seen sorry! check spellings and they way you say what you want to say, ask someone but what ever you do dont go live with that.
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14-08-2017, 10:41   #33
Bargepole23
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Quote:
Originally Posted by Seanjohn27 View Post
http://seans-services-s2.business.site

Take a look at my example above, this is my company in development, I have the staff ready,a few cars.. and nearly vans available.. I have a code to publish this website to register with Google.. then I will be applying for a fund for self employed startup with the gov.. obviously they would say yes with what I have done .. that's when I rent a warehouse to extend storage etc.. and declare it a ltd company.. hope this helps
The email link on your web page doesn't work.

As already stated, correct your spelling and grammar.
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14-08-2017, 17:33   #34
Cyclone
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Quote:
Originally Posted by Seanjohn27 View Post
then I will be applying for a fund for self employed startup with the gov.. obviously they would say yes with what I have done ..
Is there a specific scheme you'll be applying for, and do you meet the criteria?
_______
Ask yourself, what would Chuck Norris do?
Youtube videos, snowboarding, climbing, bad drivers.
https://www.youtube.com/channel/UCmn...qpXEZMGnJHf3Wg
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17-08-2017, 17:12   #35
mediagenic
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I would have a look on amazon, there is some great books to help you starting out, with real life stories.
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