Self employment e.t.c

[Inoff the Red]

I think insurance would be a better protection.

 

Going Ltd is quite expense and IMO is not worth considering unless your at least over the VAT threshold, I think going VAT registered would the first move before thinking go going Ltd.

 

The last time i registered a company for a client it cost about £60.

Then there is annual cost of £14 for filing an annual return.

Small companies don't need to be audited so no extra costs there.

 

 

If profits from the business exceed £50k and you are self employed, you will be paying higher rate tax on part of your profits (and have a claw back of any tax credits received).

 

In a limited company profits are taxed at 20%. You could draw a small salary at the NI threshold and take a dividend that takes you up to the higher rate tax band with nothing more to pay the taxman. This means that you can retain profits within the company to cover any future downturn in business.