When a contractor enters into an agreement with a client or an employment agency, the umbrella company becomes the contractor’s employer for tax purposes. This offers an alternative to establishing a Limited Company by the contractors themselves. Further, if the contractor’s agreement is outside the purview of IR35, it becomes a very cost effective operation. The umbrella company issues the ... Read More »
It is great to be a freelancer as you will be your own boss and you can take up projects that you are interested in working on. However, you need to market yourself well in order build a good clientele. As a freelancer, you have to be an expert in your own field as well as marketing your skills. Set ... Read More »
One of the most preferred legal business structures in the United Kingdom, other than being a sole trader, is a limited liability company. This business structure, as the name implies, is one wherein the liability of the directors of the company is limited. The company’s finances are treated as separate from personal finances of the directors. This is not so ... Read More »
The legal setup of the business that you are planning to start is a big aspect that you need to decide. It is better to seek the services of a qualified accountant, if you are not quite sure about such matters. Benefits Sole Trader vs. Limited Company Most businesses make losses in the initial stages. If you have left a ... Read More »
Contract Eye Limited, a publisher of business information, has launched a brand new microsite ITCA, specifically meant for IT contractors based in the United Kingdom. This is useful for those contractors who find it necessary to hire services of specialist accounting firms in Chicago or in any other state they are operating in. Contract Eye Limited is a highly sought-after ... Read More »
In the United Kingdom, new laws that have come into force from October 2012 last year require employers to enrol their employees automatically into a pension scheme. Additionally, it is also mandatory that the employers pay minimum pension contributions to the employee’s pension fund. The minimum contribution to be made by the employers starts initially at 1% and subsequently increases ... Read More »
In the New Year, the government seems to be giving top priority to tackle tax avoidance and evasion issues with global companies not paying UK corporation tax, celebrities having personal tax arrangements and actual owners of high-end properties that are held through overseas companies brought to light by the media. Most people agree that it is important to pay taxes ... Read More »
This article aims to help an individual understand how umbrella companies function and how to choose an umbrella company that is most suitable for his/her specific needs. Umbrella companies are preferred by many contractors who are new to the profession to avoid the hassles of invoice submissions for tax purposes and insurance contributions. Though umbrella companies help to share the ... Read More »
In the context of tax implications, it is very important to consider as to which business structure will give the best returns: sole trader, partnership between two individuals, limited company or a limited liability partnership. The answer to the question, “should I form a limited company’, is a difficult one as every situation is different and is controlled by many ... Read More »
Short-lived Contractors thought that umbrella companies would be short-lived. It was conjectured that the IR35 may be abolished or the PCG might become successful, paving the way for contractors to get back into forming limited companies. The speculation was that the government would ban umbrella companies. Managed service companies had already been forced to close down with the fancy now ... Read More »
The Ultimate Business Blog Citygirlbusinessclub.com