View Full Version : Registering a company in the UK
Sarah_Webinc
04-05-06, 08:47 PM
I think it is time but I am getting confused by all the sites that offer to help with the registration process. Can anyone recommend a company? I know I can do it myself through companies house but I wouldn't want to mess anything up. Also, can you start a company with just yourself? Do I need another person?
dvtimes
04-05-06, 08:52 PM
I think it is time but I am getting confused by all the sites that offer to help with the registration process. Can anyone recommend a company? I know I can do it myself through companies house but I wouldn't want to mess anything up. Also, can you start a company with just yourself? Do I need another person?
There are two types, public and private.
Before you start thinking aqbout doing this, look into it.
Running a company means a lot of paperwork.
You need to take advise on this.
I get my accountant to do it I wouldn't try and do it yourself. Its easy they can do it over the phone for you. My guy charges me about £120 my old accountant wanted £400, his fee was too high!.
You need to have a secretary and a director, secretary has no power so it can be anyone really, you canot be both if there is only one director.
ApacheAnderson
04-05-06, 08:52 PM
I think it is time but I am getting confused by all the sites that offer to help with the registration process. Can anyone recommend a company? I know I can do it myself through companies house but I wouldn't want to mess anything up. Also, can you start a company with just yourself? Do I need another person?
You'll need a company secretary as well. It's probably advisable to find someone you know and trust to do it, but some companies offer a service that allows you to put on of their staff down.
The proccess is petty simple any company that isn't full of crooks or morons would find it pretty hard to cock up.
I think it is time but I am getting confused by all the sites that offer to help with the registration process. Can anyone recommend a company? I know I can do it myself through companies house but I wouldn't want to mess anything up. Also, can you start a company with just yourself? Do I need another person?
We have done this several ways over the years but doing it through your accountant is by far the best way.
xcite-tv
04-05-06, 09:14 PM
I think it is time but I am getting confused by all the sites that offer to help with the registration process. Can anyone recommend a company? I know I can do it myself through companies house but I wouldn't want to mess anything up. Also, can you start a company with just yourself? Do I need another person?
I assume you mean a limited liability company
you can do it yourself at companies house for just over £20 but i would recommend using an accountant
also you need yourself as director and another as co-secratary but an accountant can act for you too in that role
dont bother using a company, it costs £20 if you do it yourself or get your accountant to do it.
Funny thing is I started two new limited companies this week. I like having the cerificates up in my office :)
Sarah_Webinc
04-05-06, 10:47 PM
The having to have a secretary thing is a bit of a pain. The nature of my work makes me feel like I would be impossing on anyone asking them to connect themselves to smut.
As far as doing VAT goes once it is set up is it doable by yourself with a computer program or something?
In Phoenix the lawyers kept stressing over and over that you (and I know they were talking mainly for Americans) really should form a company if you are in this for the long run. I would rather have a company here than there.
I don't think you need to worry about VAT as long as you are dealing with people paying you from overseas.
I described my bussiness to the VAT guy I asked for advice as basically selling advertising to mainly us firms, IE sponsors and 3rd party billers from overseas and he said I didn't have to pay it.
I dunno what you deal with but is it mainly design etc to US firms? You don't have to charge / pay VAT then.
There is some debate on whether paysite revenue from billers in EU is VATable.
Sarah_Webinc
04-05-06, 11:05 PM
No this would be essientially for when I start my paysite up in a few months. I thought that if you had a company registered you were obliged to file VAT.
No this would be essientially for when I start my paysite up in a few months. I thought that if you had a company registered you were obliged to file VAT.
I don't think so there is a certain turnover you have to register at but not if you don't have to pay it.
There was a big thread about this before but as far as I have been told by a VAT guy, money from foreign 3rd party billing companies is NOT vatable so you don't need to register...
anyone else know different ?
Dirty Derek
04-05-06, 11:29 PM
I used www.stanleydavis.co.uk. Dead easy and only 47 quid.
dvtimes
04-05-06, 11:52 PM
I don't think so there is a certain turnover you have to register at but not if you don't have to pay it.
There was a big thread about this before but as far as I have been told by a VAT guy, money from foreign 3rd party billing companies is NOT vatable so you don't need to register...
anyone else know different ?
That makes sense as VAT is UK added.
I think unless you earn 40K then you do not need to register for VAT.
I was listening last week on business lunch on bbc2, and somone asked about becoming a company.
The advise was, get advise first as its not for everyone.
I think people did it to avoide paying tax, but a lot of these loopholes have been covered up.
dvtimes
04-05-06, 11:57 PM
Somtimes I think people just become a company for no other reason than to call themselves a director.
I have even met a few models who have had a basic site and desided to become a company. These sites were clearly making at mosty £50 a month. Not sure if they did become companies, but I know they have given up modeling as they were not making enough to pay there bills.
I used www.stanleydavis.co.uk. Dead easy and only 47 quid.
Hi Sarah, we just set up our third company today, this time we did it online instead of through our accountant (actually our accountant recommended it) with http://www.stanleydavis.co.uk - the online form took only 5 mins to fill in and cost, like Derek said, only £47.02 inc vat. They send an email containing your Certificate of Incorporation within 4 hours , you can use that to set up your company bank account.
It's that easy it is scary! :eek:
I think people did it to avoide paying tax, but a lot of these loopholes have been covered up.
not all of them :eyebrows:
>> That makes sense as VAT is UK added.
I don't get it VAT is sales tax right the idea is you charge your customers that 17.5% and pay it to the GOVT if its bussiness to bussiness you register for VAT and you can claim it back.
So iff you are selling stuff to overseas you don't have to charge them VAT its not valid right or am I tripping out?
No this would be essientially for when I start my paysite up in a few months. I thought that if you had a company registered you were obliged to file VAT.
VAT and Ltd companies have no relation
I think people did it to avoide paying tax, but a lot of these loopholes have been covered up.
Dividends and National Insurance :gaylords:
Sarah_Webinc
04-06-06, 10:18 AM
VAT and Ltd companies have no relation
Yeah, it looks like that was part of my confusion. I thought if you registered a company you had to file VAT for it no matter what.
So, if I formed a company I would just pay self assesment tax on that money?
Yeah, it looks like that was part of my confusion. I thought if you registered a company you had to file VAT for it no matter what.
So, if I formed a company I would just pay self assesment tax on that money?
You will pay company tax and you will self asses your personal drawings.
I don't think you need to worry about VAT as long as you are dealing with people paying you from overseas.
I described my bussiness to the VAT guy I asked for advice as basically selling advertising to mainly us firms, IE sponsors and 3rd party billers from overseas and he said I didn't have to pay it.
There is some debate on whether paysite revenue from billers in EU is VATable.
We back to good old VAT on sales again??????
If you get a company Sarah, welcome to the world of red tape and buracracy..... plus your putting your name on the radar for the Tax, Vat and NI people to start chasing you up...
If your a small concern, why have a company.... Limited Liability is fine but for borrowing etc, the banks still want secured lending..... so theres no real advantage there........
Our beloved chancellor a few years ago did make it more attractive for people to have company's rather than be sole traders, through the tax treatment of dividends etc... and everyone rushed to have their own company... but then he closed the loop hole and a lot of people suddenly found out they were a lot worse off.....
One point not mentioned here though is, I understand you a foreign national (I may be wrong), so you would need to check on the rules for foreign nationals owning companys in the UK and dual tax considerations......
So find a good cheap accountant is my advice.....
Empress_JoinRightNow
04-06-06, 11:12 AM
Also, can you start a company with just yourself? Do I need another person?
For me you really needed another person to star a company. When we talk about company it composes of several people knowledgeable of the business you want to venture...you cannot do business alone...you need somebody to help you...
Sarah_Webinc
04-06-06, 11:14 AM
I have dual citizenship now so I am British in the eyes of all things legal.
So, essentially it is sounding like no real benefit anyway since I would have to pay taxes either way. For some reason it sounded like a layer of protection. Yeah, It does sound like I need to contact an accountant.
Sarah_Webinc
04-06-06, 11:15 AM
For me you really needed another person to star a company. When we talk about company it composes of several people knowledgeable of the business you want to venture...you cannot do business alone...you need somebody to help you...
right but I am talking about what is required for British law
Empress_JoinRightNow
04-06-06, 11:26 AM
Yeah, It does sound like I need to contact an accountant.
Yeah...an accountant is a must!
xcite-tv
04-06-06, 07:22 PM
my advice (for what its worth)
DO NOT set up a UK company. start you business offshore and keep it there
there are plenty of specialist you can get to help (some online research here)
dont get involved with VAT there is no need
Sarah_Webinc
04-06-06, 11:01 PM
CCbill EU seem to like the idea of me having a company but I can set up my account without one too.
take a look at www.anewbusiness.co.uk . I use them for all my onshore company formations.
If you need any more help on this Id be glad to speak with you direct on ICQ. I have a bit of knowledge with onshore and offshore company formation and running etc.
Kelly Steele
04-09-06, 03:41 PM
CCbill EU seem to like the idea of me having a company but I can set up my account without one too.
I've lived and worked in a lot of different countries over the past couple of years. And for foriegners, like you and me, it is just waaaay much easier to set up a corporation.
The UK appears to be pretty easy. At least I haven't found a problem yet. (Mind you, they aren't as easy as the USA or Canada) The only place we ever had a problem was in France. But that's an entirely different issue.
For most corps you need at least 2 people. But I've set one up myself in the past. (But not in the uk)
Keep me posted on how this works for you.
I've been in business or self employed for over 20 years now and I've never seen so much bad advice as I've just seen here. Unless you've a pressing need for the legal protection of being a limited company, just trade as a sole trader. If your turnover is more than about £56k (I think) you must register for VAT. If not, it is advantageous to register for VAT only if most of your sales are outside of the EU and you don't need to pay VAT on them - the advantage here is that you can reclaim the VAT on things like phone bills and capital equipment purchases.
If you become a limited company you will have very little tax advantage, but will pay more to accountants and you will be tied up with more red tape.
dvtimes
04-09-06, 10:22 PM
I've been in business or self employed for over 20 years now and I've never seen so much bad advice as I've just seen here. Unless you've a pressing need for the legal protection of being a limited company, just trade as a sole trader. If your turnover is more than about £56k (I think) you must register for VAT. If not, it is advantageous to register for VAT only if most of your sales are outside of the EU and you don't need to pay VAT on them - the advantage here is that you can reclaim the VAT on things like phone bills and capital equipment purchases.
If you become a limited company you will have very little tax advantage, but will pay more to accountants and you will be tied up with more red tape.One reason to register for VAT is if you do business to business. Mainly as firms will refer it if your VAT registered.
Yes, you're right. That's the only reason I'm still VAT registered.
there are many advantages with going limited. alot depends on how many employees you have, your turn over , the kind of expenses incurred etc. many people are fine being a sole trader and being VAT registered, it depends upon the individuals own circumstances. a good tax advisor will tell you the best way to go for your business.
RGB has it down 100% correct :)
Sarah_Webinc
04-10-06, 11:12 AM
I wasn't sure if the nature of our industry made it more sensible to have a company but if it doesn't do anything good for me then I am not that fussed. Setting up a ccbill EU account requires me soon to arrive British passport and another form of photo id if you don't have a company..I don't drive so that is becoming a negotiating point with them. It looks like they are going to take one of those cards kids get to prove they are old enough to buy booze but I have to get it first.
One of the few times those national ids labour wants so badly would help.
Shandy McAndy
04-10-06, 11:26 AM
One reason to register for VAT is if you do business to business. Mainly as firms will refer it if your VAT registered.
How do we remove the beer from this smillie :bandb:
One of the few times those national ids labour wants so badly would help.
U wanna buy 1 of those going cheap???????
But dont forget you'll have to send ccBill some of your wee wee, so they can check the dna on yr card!! LOL
The only reason I'm registering for VAT is so that I can get a Macro card :lmao2:
Sarah_Webinc
04-10-06, 03:58 PM
The only reason I'm registering for VAT is so that I can get a Macro card :lmao2:
lol actually that is funny..my husband had a company and so we could use Macros but since he died the company folded and I can't get bulk stuff anymore than I never really needed in the first place.
Sarah_Webinc
04-10-06, 03:59 PM
U wanna buy 1 of those going cheap???????
But dont forget you'll have to send ccBill some of your wee wee, so they can check the dna on yr card!! LOL
heck after all the free beer and food they provided at the Pheonix Forum they deserve some of the beer back in whatever form they want it.
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