Blackpool Accountants

SHOULD YOU INCORPORATE YOUR BUSINESS?

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Recent tax changes have made it even more important to consider whether it is best to trade as a limited company.

We are regularly asked, ‘should I incorporate my business?’.

The reality is that there is no easy answer. Each situation has to be judged individually. As well as the obvious issues of tax and national insurance contributions (NICs), there are many other factors, such as:

• The owners lifestyle  

• Growth rates of the business

• Commercial risk

• Administration

• Your personal preferences

• Pensions and retirement planning

The advantages of incorporation are that Incorporation usually provides limited liability. If a shareholder has paid fully for his or her shares, he or she cannot normally be required to invest any more in the company, it has its own legal status – it can own property, sue and be sued and there may be tax advantages, depending on circumstances.

When we review whether it is best to be a Limited Company, we consider these key issues:

  1. Potential Tax position
  2. Motor Expenses/Benefits
  3. Minimum Wageaccountant blackpool
  4. N I contributions
  5. Dividends
  6. Pension contributions and Life Assurance
  7. Retirement Relief/Taper relief
  8. Obtaining mortgages etc
  9. Administration
  10. Other trading methods
  11. IR35
  12. Property/Business Property relief
  13. Shareholdings
  14. Long term plans /Exit strategy
  15. Health Warnings
  16. Accounting Issues
  17. Stamp Duty

We also calculate any potential tax position:

blackpool accountants

 

Based on this in-depth discussion you can arrive at a sensible decision as to whether you should incorporate.

Call us for an appointment.

01253 798812

 

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