Moved from Umbrella to Ltd

[CloudWalker]

Hi there.

Now I'm a bit of a noob (so go easy on me)
I've been contracting for many years now. I always used an Umbrella Company (Parasol)
But after securing my new contract in a local government, I decided to take the plunge and go Ltd.
Now I know ClearSky are a bit pricey, but I decided to go with them as Parasol had always been helpful.
I was going to go for their Essential package (£95) but the lady talked me into going for the Freedom Package (£120)

[Mod snipped the Freedom bumpf - if anyone uses it they know what you're talking about.]

I'm just wondering if any one else has made the jump from Umbrella to Ltd and can give me some tips on "what to expect" and "what not to do"

[TheFaQQer]

I'm just wondering if any one else has made the jump from Umbrella to Ltd and can give me some tips on "what to expect" and "what not to do"

Linky

HTH

[northernladuk]

Tip 1: Speak to your accountant
Tip 2: Read their bumpf cover to cover
Tip 3: Do some research on expenses
Tip 4: Do some research on your legal responsibilities as a director
Tip 5: If you don't understand anything go to Tip 1.
Tip 7: Find a way to learn basic company finance and numbers.
Tip 8: Read up on the situation of contracting in the public sector
Tip 9: Research and understand IR35... very thoroughly.
Tip 10: Find out about the 24 month rule and apply it to your situation
Tip 11: Investigate the penalties for running your business badly and not fulfilling your legal obligations
Tip 12: Have a look at the link about Basic advice when running your company thread
Tip 13: Use the search method as explained in the FAQ section to search for anything before you ask a question
Tip 14: Don't take any advice from me

[cojak]

Hi CloudWalker,

While I haven't done it myself, here are a few articles in the CUK website

Limited Companies - Running a contractor company :: Contractor UK

Particularly:
IT Contractor Tax - What Taxes Will I Have To Pay? Corporation tax l Dividend tax :: Contractor UK
IT Contractors Questions: How to draw money out of a limited company? :: Contractor UK

But I'm sure that someone with direct experience will come along with some answers.

[Clare@InTouch]

Call ClearSky and ask to talk to the person you'd be allocated to, and then ask them to talk you through things. You'll also find out that way whether or not you get on with the person you'll be dealing with

[CloudWalker]

Thanks. I know there's a lot to read up on

My agency is Hyphen and I start my Local Government contract Monday.

Wish me luck. and I've no doubt ill be back

[northernladuk]

Thanks. I know there's a lot to read up on

My agency is Hyphen and I start my Local Government contract Monday.

Wish me luck. and I've no doubt ill be back

I take it you have had your contract reviewed and advised them it is a public sector contract?

If not get on to QDOS quickly.You can speak to them about Public Liability and Professional Indemnity insurance while you are at it.

I don't see any mails complaining about the contracts from Hyphen IR35 wise but I see the odd one about problems getting paid on time.

Have a read of the link below and maybe speak to Hyphen to understand how it affects you if at all as well.

http://forums.contractoruk.com/busin...ntracting.html

[LisaContractorUmbrella]

Is the contract longer than 6 months and more than £220 per day?

[cojak]

And are you on their rubbish Employed Consultant Model?

Because if you are you ain't a contractor.

[northernladuk]

And are you on their rubbish Employed Consultant Model?

Because if you are you ain't a contractor.

This is the one Cojak is talking about...

http://forums.contractoruk.com/busin...g-rip-off.html

I don't think he will be as they would be employed directly by Hyphen, not through a LTD but my experience of this was a long time ago so they could have changed it by now. Still one thing to be aware of though.