Investing on the LSE as a LTD company

[Norbie]

Hi there,

I came across this site after finding a topic on this site through Google - I'm unable to post links due to my post count so please put this in your address bar after the .co.uk/ - forums/showthread.php?t=66437

I have just registered a limited company that I would like to use to invest in various things. I would class the business as "mixed business/investing activites" but I am not sure if this is allowed?

As well as selling services and products, I would like to invest capital from the business into shares on the london stock exchange. I've found the means to do this but was concerned by the comment in the above topic saying that this could change the nature of the business and cause tax issues.

Is anyone able to shed any light on this please? I've not found any information on this yet at HMRC or Companies House.

Many thanks in advance for your time.

[Norbie]

Anybody able to help?

Many thanks!

[Aspect Investments]

You can call your business what you want. You can trade in what you want. You can invest money into the stock market if you want, all from within a Ltd company, but if you are selling financial products or services you may need to get FSA approval. http://www.fsa.gov.uk/

[Norbie]

Thanks EBA. This company looks after my personal assets - I won't be selling financial products/services.

Do you know how this affects tax the company pays? Do I pay capital gains AND corporation tax on profit made through share dealing through the company? What about dividends?

I think I really need to sit down with an accountant...

[Aspect Investments]

Thanks EBA. This company looks after my personal assets - I won't be selling financial products/services.

Do you know how this affects tax the company pays? Do I pay capital gains AND corporation tax on profit made through share dealing through the company? What about dividends?

I think I really need to sit down with an accountant...

I would not put your personal assets in a Ltd company. The idea of a Ltd company is to protect your personal assets.

I think it would be a good idea to sit down with an accountant like you say.