sole trader or limited company?

Discussion in 'Managing Your Business' started by Tom in leeds, Mar 12, 2015.

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  1. Tom in leeds

    Tom in leeds Newcomer
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    Hi guys,

    Taking on my family window cleaning business. Hoping to expand it. Should I keep it as a sole trader or set up a limited company?

    Looking for your thoughts and experiences.

    Thanks
     
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  2. Smurf

    Smurf Banned
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    One or two around me have gone ltd and I'm guessing it's something to do with wanting to gain large commercial contracts. I can't see any other reason why myself unless you just like all the agro that goes with being registerd as a ltd company.
     
  3. Simply Business

    Simply Business Well-Known Member
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    Another bonus of going LTD Tom in leeds is the removal of a lot of personal liability. In the main, when you're ltd, the buck stops with your company. I.e. if it all went wrong, only money from the company could be taken. However, as a sole trader, there's no separation between company and personal assets.

    Is it just you in the company? Or will you have a partner or employees etc?
     
  4. spanish pete

    spanish pete Active Member
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    Hi I have had both, and unless your earning at least enough to be vat reg.Its sole trader all day long Ltd company double paper work you have to go paye its just not worth it.
     
  5. Tom in leeds

    Tom in leeds Newcomer
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    Just me in the company. I'm trying to weigh up all the pros and cons still. In the future I hope to have at least 1 employe. But certainly not for a year or so
     
  6. DMD

    DMD Member
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    not really worth it for a 1 man company whose outlays are minimal (i'd imagine)

    i'm a limited company but I've got staff. If anything was to happen on company time, the person could sue my company but not me, so in essence it removes all risk from the person who owns the company.

    People make a big deal of the paperwork, if you have a good accountant they will do the work for you. All i do is hand in a bag full of receipts and invoices for each 1/4 and he does the rest. he also does all my payroll and dividend certificates
     
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