What is the step zero to start a company? Is it register it online?

[bruce24]

Hi guys, I want to start my company. Think Ltd is the best. I am going to provide local services to its departments, outsourcing. How suppose I start. I heard i need to register at one site company house or something like that? If I started a Limited company, what do i need? I heard I need a second person as a director? Do I need other people to register for my LTD company? That's a bit silly. I don't have other people. What the other guy needs to prove and how it changes his PAYE status if he decides to sign to help to register my company.? Please help me, how step by step register at company house. And good reading about that process to learn beforehand?Any videos? How long it takes to register? Does it influence that I am a PAYE worker at another company? I appreciate all answers guys
Thanks
Bruce

 

[Scalloway]

You can just start a business by yourself as a sole trader. If you are set on forming a limited compnay there is advice here. Nowadays you don't need to have a second director.

https://www.gov.uk/set-up-limited-company

 

[bruce24]

Hi Scalloway, What consequences coming with starting LTD? I am still working for another company as PAYE, agency to get my main money stream.

 

[bruce24]

In step 3 choose a director and secretary it says
'You must appoint a director but you do not have to appoint a company secretary.'
So I need another person? I need a director, yes, but not a secretary. There is only me unfortunately

 

[fisicx]

Don't register a company. It's not needed yet. Start as a sole trader and the business is viable you can set up a company later.

 

[bruce24]

What is a difference in LTD and sole trader. do i need a company name. I would like to have a name and website of my company does sole trader allows?

 

[mattk]

Step zero is go and speak to an accountant. Most will give you an hour of free consultation. Do this before you do anything else as they will advise you on everything from company structure to tax to drawing an income.

 

[Deleted member 59730]

Judging by the problem posts here the 1st thing to do is TRADEMARK your business name. That is not the same as your company name.

e.g. Trademark "Google"
Company name "Alphabet"

 

[bruce24]

he 1st thing to do is TRADEMARK your business name. That is not the same as your company name.

Ok, how to trademark? Is it to be done first? Does it cost? Is it necessary?

Another question is about tax year for LTD and self-employed. What is every year's deadline te send papers from the accountant of your company? Was it the end of January? Because now If I apply for a company I don't want to send any paperwork to a government agency? I simply don't know how to. And this tax year I am not gonna earn any money. ??
Thanks for your answers. This is a great forum. Appreciate.
Bruce

 

[eteb3]

Ok, how to trademark? Is it to be done first? Does it cost? Is it necessary?

No, not necessary, but might save you trouble later if others use your name: your protection is much stronger.

So you don't have to do it straight away (or at all), but obviously the longer you leave it the greater the chance someone will nick your brilliant name.

Look at the British Library website: excellent info on trademarks, imo. Cost of application is ~£200 iirc.

 

[Mr D]

Ok, how to trademark? Is it to be done first? Does it cost? Is it necessary?

Another question is about tax year for LTD and self-employed. What is every year's deadline te send papers from the accountant of your company? Was it the end of January? Because now If I apply for a company I don't want to send any paperwork to a government agency? I simply don't know how to. And this tax year I am not gonna earn any money. ??
Thanks for your answers. This is a great forum. Appreciate.
Bruce

Trademark and limited company are totally separate.
Accounts year for your business is whatever you set it at - I've got to get mine filed by end of May.
Self assessment deadline is end of January following tax year - so for 2018/19 tax year its in a couple of weeks.

Up to you whether you earn any money this tax year - you presumably would be the one sorting out your income.

You register the company with companies house, you register with HMRC, they then if they need to send an instruction to complete an annual tax return.

 

[Chris Ashdown]

You obviously have little or no experience of running a company and what is involved

I would suggest a visit to W H Smiths or Waterstones and buy a book with a title like Starting a business, there are normally about 3 or 4 read one then come back for more detailed advice on the subject, but really everything you need to know will be any of the books you but, most are reprinted every year or two so up to date

 

[bruce24]

All righr. so the Limited Company is the best option for me? What is it different from sole trader. Thanks for help guys. I will look for a book, while in WH smith

 

[Deleted member 59730]

No, not necessary, but might save you trouble later if others use your name: your protection is much stronger.

Not necessary but vital.

 

[Mr D]

All righr. so the Limited Company is the best option for me? What is it different from sole trader. Thanks for help guys. I will look for a book, while in WH smith

Cost of accounts
Admin
tax issues
liability
employment type

 

[Scalloway]

All righr. so the Limited Company is the best option for me? What is it different from sole trader.

A sole trader is just you working in your own name and making and receiving payments. You can use a trading name. You are personally liable for all debts.

A limited company is a separate legal entity from you. It involves a lot more paperwork and expense to run. An accountant is essential.

 

[paulears]

The free chat with an accountant is 100% worth doing because setting up a Ltd company is easy. Getting rid of one, and the liabilities of having one are serious for your future - I'm assuming you're very young. For some people a Ltd company for their business will be virtually a requirement. for others, a sole trader business means they earn more money. Not knowing, is proof you need advice from somebody who will ask you the right questions. Often the choice is down to risk. Is there a chance you will lose money, owe people and have people knocking on your door? If there is, a Ltd company - provides limited liability - the business exists on it's own - it's a legal entity, and you essentially work for it. If you operate as a sole trader - the business is YOU. Fred Smith Electrics would be Fred Smith. If you mess up and owe thousands, the the court officers can take your car, your house, your wife (joking in that one) but if the business messes up, then it's you they come after. However this isn't as bad as it sounds because many clients like mine know that doing business with me is safer than a company who can just close the doors and walk away. So for me, sole trading is a good move, and I've no problems with being fully responsible. A sole trader who has been in business for more than say ten years is a good risk. A Ltd company, with a single Director, low profits and probably low PAYE earnings for tax minimisation is a lesser risk. A Ltd company with a large turnover and a large staffing compliment is then a much better risk of course.

Small businesses operating as Ltd companies have corporation tax to pay, PAYE faff to manage to pay yourself, pensions and paperwork. Accountants will happily look after this for you. I hate all things tax, so my accountant charges me to do my books and filing. I consider it damn good value - even though it's a fairly large amount. I doubt we can really advise because everyone has different circumstances. A chat would work for you very well - but the advice to read up on it is very sensible as you seem to know very little about business in general.

 

[eteb3]

All righr. so the Limited Company is the best option for me?

What is it different from sole trader.

I'd respectfully suggest that if you don't know this, you can't conclude "Think Ltd is the best". paulears gives very sound advice. I'd follow it.

 

[bruce24]

Hi paulers, I would like to do services in IT, like databases, web apps and any kind of outsourced it. Don't have customers yet. But this nowadays can be achieved I think quickly, with Google AdWords, SEO .etc
I just would like to have my own company, not being a sole trader. I want a company with a good name and all financials going into the Limited Company. I will do the work, or in future maybe I take some help from freelances. Then I can render a bigger income, as I am gonna sell my services. So I will be a team leader or a manager, acquiring new workforce and new customers, and be in the middle of the transactions and all the projects coming. I don't know if it works. But I want my company. Also, the point is I am not a native citizen of the Isles, so with the Brexit coming on 31 of January, I am a bit worried and rushed to open my own Limited company. I am not sure maybe I suppose to wait. But British work law , or a Company law, I don't know, is really very good. In my country we could only jealous you, since it's so easy to start your own business. And the taxes are fair. Please just advice me on what to do. I don't want to make a silly mistake, to rush and start a business, and then if it does not work suffer the consequences. Or not be aware of how to simply lead the limited company, and then be responsible for failure. Please help me.

Thanks
Bruce

 

[fisicx]

Start as a sole trader. Get some contracts and see how it goes. If you are successful you can then register a company.

 

[eteb3]

Are you living in the UK and doing business in the UK? Or are you overseas and you want to use the UK jurisdiction to route your business through a stable, fairly-taxed jurisdiction?

 

[Mr D]

Hi paulers, I would like to do services in IT, like databases, web apps and any kind of outsourced it. Don't have customers yet. But this nowadays can be achieved I think quickly, with Google AdWords, SEO .etc
I just would like to have my own company, not being a sole trader. I want a company with a good name and all financials going into the Limited Company. I will do the work, or in future maybe I take some help from freelances. Then I can render a bigger income, as I am gonna sell my services. So I will be a team leader or a manager, acquiring new workforce and new customers, and be in the middle of the transactions and all the projects coming. I don't know if it works. But I want my company. Also, the point is I am not a native citizen of the Isles, so with the Brexit coming on 31 of January, I am a bit worried and rushed to open my own Limited company. I am not sure maybe I suppose to wait. But British work law , or a Company law, I don't know, is really very good. In my country we could only jealous you, since it's so easy to start your own business. And the taxes are fair. Please just advice me on what to do. I don't want to make a silly mistake, to rush and start a business, and then if it does not work suffer the consequences. Or not be aware of how to simply lead the limited company, and then be responsible for failure. Please help me.

Thanks
Bruce

Can do all that as a sole trader too.
The difference between business types is more to do with costs, liability and tax.
Still, do what you wish.