start up as a sole trader
then once this are more intense. progress to a LTD
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Loving The Life!

This may help with some general information about things you need to consider: http://www.squidoo.com/sole-trader-vs-limited-company
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UK Limited Company Formation - £24.99

Thank you,

i have very limited overheads and am predicting profits of around 30k in first year.. and i am still unsure!

Best to speak to an accountant or tax adviser who would be able to advise you which is best trading vehicle for you.

Sole trader is easy to operate, you do not need to submit your accounts to companies house, meaning not available to the public.

While companies have to comply with the companies act, admin is a bit comlicated and time consuming.

As a sole trader you pay tax and ni on your earning above the ni & tax threshold. You have a tax free personal allowance.

While limited company corporation tax on its profit at 21%. Then you draw down as combination of salary and dividend.

HTH
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RMBC
Surrey & London
rmbcuk at hotmail.com

I would go with a sole trader to start with,

if you are still confused take a look at this link;

http://www.businesslink.gov.uk/bdotg/action/layer?r.s=m&r.l1=1073858808&r.lc=en&r.l3=1073865730&r.l2=1073859215&topicId=1073859215&r.i=1073789606&r.t=RESOURCES

I agree with the rest of the comments as there is no need to set up as a limited company straight off the bat. It's also worth knowing that funding is available from places like Business Link for mentoring programmes which is free for the first year & then £250 + VAT for subsequent years, however after the first year you can register as a ltd company & get the second year for free as this is treated as a different entity.

David
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5 Minute Angels provide tailor-made on site massage services for offices and events across the U.K.

www.5minuteangels.com

Hi

I have read your post and have noticed that the services you provide may be based online.

I therefore suggest you opt for a non-UK offshore company, such as BVI or Belize.

The main benefits for these jurisdictions is that they are suitable because of their relaxed compliance requirements, 0% corporate taxation rate, and no requirements for accounting and audit.

For more information please feel free to contact me on info@companiesexpress.com .

Regards,
Ryan
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email: info@companiesexpress.com
web: www.companiesexpress.com

I would think very seriously before deciding to trade through an offshore company s there are a large number of drawbacks
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Ian

Start as a sole trader
then as the business develops form a limited company

I would suggest that you form the company once turnover exceeds say £65k per year therefore preventing you from having to become VAT registered personally
as the consequences of VAT registration and importantly non payment can be disaterous

I can as an accountant of 25yrs standing assist you in any way please feel free to contact me

PK Business Services

office@pkps.demon.co.uk