Private limited company (Ltd) is the most common form of privately owned corporation in the UK. It is an entity in its own right which is limited by shares and is registered with Companies House. Having a Limited Company will protect your company name, your personal assets and will add credibility to your business.
All private limited companies have directors and shareholders. Every director is automatically an employee of the company and so should be receiving a small salary. Therefore, a trading limited company should be registered for PAYE to be able to process payroll.
The most tax efficient way to run a limited company is to take a small salary and top it up with dividends. In order to be able to draw dividends you will need to own some shares. If there are more shareholders in the company then the dividends should be split in the same ratio as the shares, e.g. 50:50 split of shares means two equal shareholders receiving equal amount of dividends.
At Aspen Accountancy we offer comprehensive services for small and medium companies including:
· Company formation
· PAYE registration and payroll services
· VAT registration and VAT return completion
· Preparation of statutory accounts and company tax return
· Self-assessment tax returns for the directors
· Annual Returns submissions
· Bookkeeping services
· Completion of forms and assistance with correspondence
· Acting as your agent when dealing with HMRC
Why not call or email us now and arrange a free initial consultation.