So, your accountant has told you that don’t form a limited company because it’s more tiresome to run /manage and guess what? I am doing you a favour he says “it’s going to cost you more money!
Well, in this series of articles I am going to tell you why some of the benefits of a limited company.
Let’s forget the tax (crucial) let’s forget the balance sheet (crucial) let’s forget the advertising (crucial) and concentrate (instead) on something else.
I apply for a loan/credit card/finance or working tax credit. What is the common denominator?
Well, how nice is it to be able to look at your P60 form (for the previous year) and your current monthly/weekly payslips and together with your dividends write down your current/past income?
So, what does a self-employed trader do? Let me tell you…wait for it: he has to rush to his accountant and ask for up-to-date trading accounts, final assessment from Revenue & Customs and evidence of tax payments! This can all take ages to prepare and by the time it’s all at hand (the loan promotion has expired or the credit agreement is no more or worse the accountant is on holiday). I will leave you to make up your own mind.