Running a Company
Aside from Sole Trader status, most small businesses set up as limited
companies. The term ‘limited’ derives from the fact that the company’s finances
are distinct from the personal finances of their owners (unlike the sole trader
arrangement).
Shareholders in limited liability companies are not responsible for company debts, although if required, directors may be required to guarantee loans or credit granted to the company.
The higher level requirements for limited liability companies are as follows:
- Company must be registered at Companies House
- Annual accounts must be filed at Companies House
- Annual Returns must be completed each year to update Companies House with basic details relating to the company. Also requires a small annual fee.
- HMRC must be informed if the Company has any profits or taxable income in a Company year.
- Company must complete an annual HMRC Corporation Tax return and pay the due taxes within nine months of the company year end each year.
- Anyone employed by the company must pay income tax and national insurance on their income
If you a freelancer contractor you must also consider IR35 and the associated implications to your business. As you can see below Multisolo offer a wide range of services to assist you in running your business and would welcome the opportunity to discuss how we can help you further?
