Business start up

The business decision

1) Self employed or Limited company
There are a number of factors which will need to be considered before the decision is made as to whether or not the business should trade as an unincorporated entity or as a company. Some of these factors will be tax driven whilst some will be commercially based. Each individual case will need to be considered on its own merits. If the decision is made to trade as a sole trader or in partnership then H M Revenue & Customs will need to be notified. Failure to notify within 3 months of the commencement of the trade may give rise to a late notification penalty.

2) Formation of a Limited company

If however, the decision is made to trade as a limited company it will be necessary to form the company.
Companies can be purchased “off the shelf” and if the name under which the company was formed is not
suitable it can be changed to the preferred name providing that name is both available and acceptable.
The website at Companies House contains more details on the obligations of company directors and the
other requirements of the company. To view the website click here.

Call: 0151 644 4848
Email: Paul@lbwaccountants.co.uk
          Mark@lbwaccountants.co.uk

‘We value all of our clients
and provide the same high
level of professional advice
and appraisals.

Clients frequently start as
sole trader businesses and
incorporate their businesses
with our assistance.’