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  1. #1

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    Question Do I need to close my bank account

    Hi guys,

    I set up a limited liability company last year working as a contractor but have recently got a permanent job so was looking to close it as I doubt I'll be contracting for the foreseeable.

    I set up my standard bank current account to receive invoice payment, and although I can't remember if they asked, I would have supplied this account information to Companies House if it was asked for (I didn't set up a separate account).

    Reading about all the hoops I have to jump through to close my business and have it struck off, it looks like no further transactions can appear on the account for the business.

    Is this the case? I just set up as a sole trader and stupidly didn't think of this as an issue.

    I am due to file my accounts for the 2014-15 trading year this January, and I assume when I close the business, I supply accounts for this current financial year too?

    Thanks for any advice.

    Cheers.

  2. #2

    Fingers like lightning

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    It's really not clear what your situation is.

    Do you mean you set up a limited company and used your personal current account to receive payments? I'm surprised the agency would allow that.

    Then you mention 'sole trader'. What do you mean by that?

    Is your question "Will I have to close my personal account when I close my limited company?"
    "The only thing standing between me and greatness is ... me "

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    Jesus. Sounds like no accountant has been used at all here and a personal bank account used for business purposes!?

    If the company has now been struck off but a business bank account is still open with money in it, that'll be winging its way to the Treasury as we speak!
    I couldn't give two fornicators! Yes, really!

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    Jesus wept.. Thank god he's going back permie.
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  5. #5

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    Quote Originally Posted by Cirrus View Post
    It's really not clear what your situation is.

    Do you mean you set up a limited company and used your personal current account to receive payments? I'm surprised the agency would allow that.
    Yes, that's right. Agency didn't even ask a thing regarding the type of account I asked to receive payment in. So I'm fooked then?

    Quote Originally Posted by Cirrus View Post
    Then you mention 'sole trader'. What do you mean by that?

    Is your question "Will I have to close my personal account when I close my limited company?"
    That's the question exactly. I mentioned sole trader as the business model where you are the company (no employees).

    To the others, yes I didn't seek proper advice at the time and set a company quickly due to a deadline, and the umbrella company offered to take care of all these things wanted a big chunk of my (not great) wage.

    The permie job is actually paying considerably more.
    Last edited by ikodel; 1st December 2015 at 13:25.

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    Quote Originally Posted by BolshieBastard View Post
    If the company has now been struck off but a business bank account is still open with money in it, that'll be winging its way to the Treasury as we speak!
    There was never a business account used, also like I said, I am looking to close down the company, nothing has happened as yet.

    Would I be better off putting it in a dormant state?

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    Quote Originally Posted by ikodel View Post
    Yes, that's right. Agency didn't even ask a thing. So I'm fooked then?



    That's the question exactly. I mentioned sole trader as the business model where you are the company (no employees).

    To the others, yes I didn't seek proper advice at the time and set a company quickly due to a deadline, and the umbrella company offered to take care of all these things wanted a big chunk of my (not great) wage.

    The permie job is actually paying considerably more.
    How can you have an umbrella company and be set up as a sole trader

  8. #8

    I live on CUK

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    Quote Originally Posted by ikodel View Post
    Yes, that's right. Agency didn't even ask a thing. So I'm fooked then?
    Yep.

    Go and open a bank account with another bank asap.

    Quote Originally Posted by ikodel View Post
    That's the question exactly. I mentioned sole trader as the business model where you are the company (no employees).
    No that is not what a sole trader is. If you can use Google you can find out what one is it isn't hard.

    If you incorporate a company, are an officer of that company e.g. a director and there are no other employees you are not a sole trader. You are running a closed company.

    Look explanation about your status is:
    1. If your bank found out you were using a personal account for business transactions they can close down all your accounts. Most don't and force you to open up a business account as well.
    2. If your company is struck off, the bank account is frozen and any money in it then that goes to the Treasury. You can get the money back but you will need help doing it and it's not free. (An accountant who posts on here will be able to help you.)
    "You’re just a bad memory who doesn’t know when to go away" JR

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    I live on CUK

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    Quote Originally Posted by MrMarkyMark View Post
    How can you have an umbrella company and be set up as a sole trader
    Remember some people aren't capable of running companies for various reasons including the inability to do research.
    "You’re just a bad memory who doesn’t know when to go away" JR

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    If you incorporate a company, are an officer of that company e.g. a director and there are no other employees you are not a sole trader. You are running a closed company.
    But....he says he uses an umbrella, how could he be incoporated

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