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Hank Moody

registering a new business

16 posts in this topic

so I'm trying to start up a business, just in name alone really as I wanna get a lease car on business rates as its near 2k a year cheaper

buying new don't really make sense right now, and I change my car yearly at the least

, and also I hear I can get a better deal on property's flights credit cards loans and business mobile phone rates etc

so after checking it out i thought that a limited company would be best

but then was told by a friend that sole trader is the way to go

anyone in the know let me know what u think and reasons why

cheers

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the main difference i know between a sole trader and a ltd company is that a sole trader does not have limited liability so say your business goes bankrupt and you owe "however much" your personal assets house car etc are not safe from being claimed to pay off debts etc so for that reason alone since you are taking out contracts i would go ltd but there should be quite a bit more behind it since im going by basic business knowledge. try googling up ltd related searches should clear up anything you dont know

EDIT: I know people claim back money/ get deals etc through businesses or at business prices have to account or show how it helps the business, for eg buying paper at a cheap business rate for a company like a taxi firm would probably flag up as wierd compared to purchasing a new car. Hopefully you get the gist of what im saying if not someone clear it up for me.

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just register yourself as a sole trader if you aren't actually going to partake in any real business under your "business", it is simpler than registering a limited business

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the main difference i know between a sole trader and a ltd company is that a sole trader does not have limited liability so say your business goes bankrupt and you owe "however much" your personal assets house car etc are not safe from being claimed to pay off debts etc so for that reason alone since you are taking out contracts i would go ltd but there should be quite a bit more behind it since im going by basic business knowledge. try googling up ltd related searches should clear up anything you dont know

what I came to say.

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I hear that but true i wont actually be doing no business that i could owe debt to i guess i wont need the limited responsibility

thanx guy's i clarified what i already thought

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because ur goin that way, as a sole trader you'll be personally credit searched for whatever you want, so if ur credit's nice atm then go for it, but as stated, doesnt have limited liability, with ltd companies theyll search the company, but may also search you, they also dont like new businesses so theyll prob personally search you, you could open a bank account and wait 3 or 6 months to get a credit profile (LTD) or something like that.

another option is to buy a ready made company, but as itll be registered as dormant youll get to get its credit up, its not so simple.

my opinion, if u have good credit just apply as a sole trader, you dont need to register just sign up for what u want, but as stated, if u fuck up n they come after bills, they can take ur personal belongings, not just business stuff

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A limited company owners have a limited financial liability whihc cannot exceed their share value. If you are the sole proprietor in the ltd co. the only difference is legal liability.

A limited company also has a better scope to obtain credit, for which you will require detailed forecasts and a well written business plan. Ltd companys also have a depth of financial/legal requirements.

A Ltd. co. is more beneficial in almost every circumstance, for those who can afford an accountant.

Either way, I wouldn't recommend what you're intending bro.

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yea my credit rate is in the top 8% of the county (996) so im good so looks the best option and nah i wont be doin no business so im good

how about this site ?

https://www.theformationscompany.com/?gclid=CMbBhbfV46sCFS0ntAodGBoMPQ

thats your credit score, a credit rating is slightly different, they dont just look at the number, they look at ur whole history and include application details, like age, how long u been at ur address, marital status, dependants, how long u had ur job, how much ur paid, home owner or renter etc and they all have different criteria so its not easy to advice

here's a good article on it

http://www.moneysavingexpert.com/loans/credit-rating-credit-score

but the score is good, so I guess any option is good for u, id go for ltd company, but theyll prob need to see business plans n cash flow forecasts n shit before they give you anything, im not sure its really worth all that just to save abit on a whip or credit card, you can prob already get good deals now

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been asked before has anyone got their credit report online and is it worth while?

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been asked before has anyone got their credit report online and is it worth while?

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how abouuuutttt you not be a c*nt and live within your means? just an idea.

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been asked before has anyone got their credit report online and is it worth while?

yea i signed up with all 3, found shit on there i didnt know was on there n had it taken off one of them, the others were cool

its cool to get it, if u dnt wanna pay monthly u can get a one time report for £2 either on paper or to view online from each of them, n u can get them as often as u want

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been asked before has anyone got their credit report online and is it worth while?

yea i signed up with all 3, found shit on there i didnt know was on there n had it taken off one of them, the others were cool

its cool to get it, if u dnt wanna pay monthly u can get a one time report for £2 either on paper or to view online from each of them, n u can get them as often as u want

checking your report too often can affect your score and rating, just like applying too much credit within a short period will have an adverse effect.

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thats a myth, it cant, its only when you get loads of searches that fucks up ur file

and some searches are unrecorded

should read that link I posted

If possible, check all the agencies, as there's no harm. While doing a check is recorded on your file, it does NOT add a 'credit search' that a lender can see, so has no impact. It's worth checking because an error can cause you a problem. It's a good idea to do a check-up roughly every year to 18 months, and always do one in good time before making any important applications.
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you're taking the limited liability bit too literally. if he's setting up his own business to work mainly on his own then the Ltd option is the better one. you will be liable for your losses anyway if you're setting up your own business.

you wont get that good deals on property, or flights, and your credit rating will depend on your type of business and the premises. it will be lower at first if using your registered business address is the same as your home address attached to your credit file.

you will have to register with companies house and get a certificate, and file yearly returns ON TIME with companies house or face a fine of up to #500 or more, and it costs 15.00 every year, you will also need to declare earnings with inland revenue, but you would do that as a sole trader anyway.

for insurance, and car leasing you can get better rates on business but you wont get any rates like that as a sole trader because you'll need to have a companies house reg no. as far as im aware a business would have to be a Ltd type of business to get such rates if not anyone could just register as a sole trader and get business rates

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