cliftyhanger
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| posted on 9/1/13 at 08:37 PM |
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Another point is that the events you intend attending will not let you be there UNLESS you have public liability insurance. It is coming to that for
autojumbles, let alone a proper business.
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JoelP
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| posted on 9/1/13 at 09:53 PM |
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quote:
Originally posted by mookaloid
quote:
Originally posted by coozer
quote:
Originally posted by mookaloid
quote:
Originally posted by coozer
"costs associated with having a Limited company"
What costs are those mate?
Hi Steve 
Well you have to buy or set up a company first. Not hugely expensive - certainly less than £100.
You have to submit accounts to Companies House every year which will probably involve an accountant to prepare these. Probably still only a few
hundred but they are costs never the less.
Cheers
M
Aye, been there done that, it was £50 to set up and the accountant is £175 a year.. but I claim it all (and more) back off the tax...
I don't wish to be picky but when expenditure is offset against tax you don't claim it all back.
you do save paying tax on the equivalent amount of income. i.e. you won't get back all the £175 above but the effective cost of that £175 to you
is actually £140 because you don't pay tax on that £175
So it is still a cost.
Im glad you've said that, its one of my pet hates when people completely misunderstand how it works. I once had the misfortune of talking to
someone who reckoned the tax man had basically bought him a van, ie refunded the £17k. I feel like pulling my hair out just thinking about it!
When i spend £100 on fuel, that 100 gets knocked off my profit and it basically means it has only cost me personally somewhere in the region of £70.
That is still £70 i could have got wasted with!
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coozer
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| posted on 9/1/13 at 10:12 PM |
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quote:
Originally posted by FASTdan
quote:
Originally posted by coozer
Aye, been there done that, it was £50 to set up and the accountant is £175 a year.. but I claim it all (and more) back off the tax...
Thats a cheap accountant isn't it? Is that purely them doing a tax return at the end of the year?
I am the director of a limited company. I set this up purely to enable me to freelance between lots of different agencys and not be hammered by the BR
tax code. I own 100% of the share which cost a single £1.
I also benefit from a better hourly rate due to the agency not doing my PAYE.
My accountancy fees include weekly PAYE.
Apart from a hour or so book keeping, sending invoices out its better than being employed. I have no assets as I purely provide a service as a
driver.
The nature of my business is as a "driving agency"
The agencys I use will not touch sole traders as they remain responsible for the tax, being limited company moves all the risk onto the director.
Now all I need is some work to fill the week!
1972 V8 Jago
1980 Z750
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coozer
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| posted on 9/1/13 at 10:15 PM |
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quote:
Originally posted by JoelP
quote:
Originally posted by mookaloid
quote:
Originally posted by coozer
quote:
Originally posted by mookaloid
quote:
Originally posted by coozer
"costs associated with having a Limited company"
What costs are those mate?
Hi Steve
Well you have to buy or set up a company first. Not hugely expensive - certainly less than £100.
You have to submit accounts to Companies House every year which will probably involve an accountant to prepare these. Probably still only a few
hundred but they are costs never the less.
Cheers
M
Aye, been there done that, it was £50 to set up and the accountant is £175 a year.. but I claim it all (and more) back off the tax...
I don't wish to be picky but when expenditure is offset against tax you don't claim it all back.
you do save paying tax on the equivalent amount of income. i.e. you won't get back all the £175 above but the effective cost of that £175 to you
is actually £140 because you don't pay tax on that £175
So it is still a cost.
Im glad you've said that, its one of my pet hates when people completely misunderstand how it works. I once had the misfortune of talking to
someone who reckoned the tax man had basically bought him a van, ie refunded the £17k. I feel like pulling my hair out just thinking about it!
When i spend £100 on fuel, that 100 gets knocked off my profit and it basically means it has only cost me personally somewhere in the region of £70.
That is still £70 i could have got wasted with!
Yep, what I meant was I claim it back off the tax liability. I dont get the actual money back it just reduces the amount of corporation tax I pay.
1972 V8 Jago
1980 Z750
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fha772
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| posted on 9/1/13 at 10:39 PM |
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I thought I'd reply to this thread, coming from another angle...
As well as owning a chip shop in Matlock Bath, I'm also a travelling showman (funfairs, we've been in this business since the 17th century
that we can trace!!), if you are offering equipment for the public to ride on, from the mini quads your talking about to theme park roller coasters.
You MUST have public liability insurance, usually to a minimum £5,000,000 limit.
You will also have to have relevant annual safety inspections on the riding equipment, this must be carried out by an engineer that belongs to a HSE
approved inspection body (for inflatables only PIPA http://www.pipa.org.uk/, for all other equipment, including inflatables ADIPS
http://www.adips.co.uk/). The inspections can cost upto £300.
If you don't have the annual inspections, your insurance won't be valid and you can be liable for criminal proceedings, if you have and
accident(god forbid).
You also have to keep detailed records, this has to include;
1) Daily inspection sheets, that have to be filled out every time you operate, and fault sheets.
2) Maintenance records, which have to be filled in no matter how minor of a job you do.
3) Risk assessment for when setting up, and packing away.
4) Risk assessment for when operating.
5) Detailed set up and pack up procedures.
6) current annual inspection certificate.
7) All previous annual inspection certificates.
8) Operators instructions.
These records have to be kept perminately, believe me, it gets crazy the amount of paperwork you end up with, I've got a 4 drawer filing cabinet
full of paperwork, just for 4 small children's rides!!!
I don't mean to scare you, but I thought I'd best tell you what you are letting yourself in for.
Good luck with your venture, and I hope all goes well, Frank.
[Edited on 9/1/13 by fha772]
http://www.ppcmag.co.uk/forum/viewtopic.php?f=47&t=6743&start=105
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