Limited Companies

Every company has overhead expenses and business costs to balance, ranging from phone bills and stationery to computer software and travel expenses. You can claim tax relief on these expenditures as a limited company owner through business expenses, which keeps your company more tax-efficient by lowering your profit and Corporation Tax payment. You’ll have a

Small business owners should ask a professional accountant a few questions to make sure they are a good fit for their limited company before hiring them. Check out their website to see what services they offer first. This might assist you in figuring out if they have the relevant experience. Many of these questions may

Due to the Covid Pandemic, which has made working from home more common over the past few years, it has become a priority to assist people in finding the “perfect” work-life balance that allows them to enjoy their jobs while also spending time with their loved ones.  Some companies have set up a hybrid work

Choosing whether to operate as a sole trader or limited company is one of the first choices you’ll need to make when beginning your own business. At the start of 2021, there were 5.6 million registered enterprises, according to the Office of National Statistics. 3.2 million (or 56%) of them were sole proprietors, 2 million

A small business may decide that switching accountants is the best course of action for a variety of reasons, including because your company has developed and changed or whether your accountant’s company has. Contrary to what your present accountant may have you believe, switching accountants is actually a rather simple process. Prospective clients who want

Setting up a business while still employed can appear difficult and perilous. Many people are concerned about losing their job stability and being sanctioned for moonlighting if their employer finds out. Creating a side business is something that an increasing number of people are doing. In most circumstances, there should be no legal obstacles to

Running your own limited company gives you more control over your own personal income, specifically when and how you pay yourself. This allows you to organise your personal remuneration in a more tax-efficient manner, such as receiving a director’s income through a PAYE salary and drawing shareholder dividends at frequent intervals or as company profits

For most UK businesses, your UTR number is just as important as your company name, and is issued automatically by HMRC when a company is first registered at Companies House. Without a UTR number, your business can’t file its company taxes, and it can also be required for certain applications (to show the business is

Small business owners in the UK need to be aware of their tax obligations, as they can face serious penalties if they don’t pay the correct amount of tax at the right time. However, you might find yourself wondering: when does a small business have to pay tax in the UK? This guide will help

Keeping accurate records is crucial for self-employed business owners and small businesses. Accurate business records not only ensure that you pay the correct amount of tax, but they can also help you avoid difficulties should HMRC launch a tax inquiry. Additionally, business owners must keep records and retain tax documents for a specific period of

Many business owners know their business expenses, but in the same breath, many are also unsure of the exact list of allowable expenses. Limited company owners often face confusion when it comes to knowing their allowable business expenses as there are grey areas between what can and can’t be claimed for tax relief. As a

Finding an outstanding accountant can make a small business thrive. For small businesses, having an excellent accountant to help them navigate ever-changing tax rules, legislation and common financial pitfalls can be the difference between growing or failing. The best chartered accountants do far more than just help you file your taxes each year, or prepare

For small businesses, cloud accounting can be a game-changer. With cloud accounting, businesses can access their financial data and records from anywhere, at any time. This is a huge benefit for businesses that don’t have the resources to invest in expensive on-premise accounting software and hardware. In addition, cloud accounting is much more affordable than

We’ve been crunching the numbers available from Companies House to take a look at the cities where the most private limited companies have been incorporated over the last 2 years. As the capital city, it’s unsurprising that London is so far ahead in the league table, but the overall top 10 is an interesting mix

Statutory accounts are a legal requirement that must be presented to both Companies House and HMRC. They are essential in the internal running of a business as they allow shareholders to understand how the company is performing. Whilst larger organisations must file comprehensive statutory accounts, smaller and medium size businesses usually have a choice of

Contractors and owner managed businesses who operate through a limited companies can improve their after-tax earnings by paying themselves a low wage and taking the remainder as dividends from their company income. Despite dividend tax increases, paying a low salary to yourself is still more tax-efficient than extracting cash from a company solely through a

Undergoing a HMRC audit — or HMRC tax investigation — is something no business owner wants to experience. Not only are they incredibly stressful and worrying, they’re also incredibly time-consuming as a business owner must manage their side of the tax investigation, whilst also paying out on average £5,000 in accountancy fees.  There’s also more

When it comes to closing a limited company, one thing on many directors’ minds is quite rightly how to extract the most value out of it. To do that, the company must be closed in a way that is as tax-efficient as possible.  And whilst it is feasible to shut your limited business without paying

If you’re an aspiring business owner in the United Kingdom, there are two main business structures available to you for setting up your business: either operating as a sole trader, or forming your own limited company. In comparison to sole traderships, limited companies provide a variety of professional and financial advantages, which is why the

The end of the year is always a stressful time for businesses and business owners. For new businesses, this stress can be even greater, especially if it’s the first time a business is filing its Year End accounts. Remarkably data from Companies House in 2019 showed that businesses in London and Birmingham were the hotspots

It’s very rare to find a company director whose favourite task is overseeing company accounts and filing tax returns. There are far more important things to do with their time, like growing their business, acquiring new projects, managing more staff, and providing excellent customer service. Time spent trying to get to grips with accounting software

When running your own business, it can be hard to know when to reach out and add extra help to your team, whether that’s employees or just external service providers. With the wealth of accounting software today, it can be just as hard to know when to hire an accountant to help you manage your

Business owners are by nature busy. That means that they spend the majority of their days running their business, taking care of their staff, and often: forgetting to do the books. It’s not a crime – but it can cause problems with HMRC down the road. Thankfully, there’s help available in the form of accountants.