Ltd Co setup and accounting

[Smarty]

Hi,

I am planning on setting up a limited company and would like some advice on the available options.

What I would really like is an off-the-shelf package but how can I be sure that the company has not traded in the past with unpaid creditors? Can someone recommend a reputable company which supplies off-the-shelf limited companies with some sort of guarantee?

Also, I have access to some accounting knowledge in my family but are there issues specific to IT contracting that may require specialist help? I am aware of all of the IR35 issues - anything else that could cause me problems?

I looked at SJD Accountancy for the limited company and accounting package but they charge 80 GBP / month. This sounds high to me particularly as I don't really need a great deal of accounting expertise. Any other suggestions?

Thanks for your help.

[Incubus]

I used this company to create my two limited companies: www.quickformations.com/

Very fast, and it's a brand new company so no off-the-shelf type hassles.

As for accountancy fees, in my mind you pay for what you get. I pay £80 a month to a local accountant and she does pretty much everything for me and is helpful with her advice.

Good luck!

Cheers,

Kev

[Darren at 1st Accountancy Serv Ltd]

Ltd

You could go for one that offers to form you a limited company for free as part of the package......I see there are a number of providers at the top of this page!

[malvolio]

SJD is £75 pcm plus VAT, which is about right for expert advice if you don't know of a local guy who is as good as the major experts.

Also, get the perspective right - good accountants save you more than they cost. Unless you're on less than £12 ph (please say you aren't!), it's better to get an expert to do it, since it's cheaper than using your own time.

Believe me, you will need all the help you can get in the current climate!

[Bradley]

Re:Contractor Accounts

which is about right for expert advice if you don't know of a local guy who is as good as the major experts

Completing contractor accounts isn't exactly rocket science so not much expertise is needed.

£75 or £80 per month is a bit much for completing a set of abbreviated accounts for which no audit opinion is required.

From what I've seen most accountants charge around £55 per month.

[malvolio]

Re: Re:Contractor Accounts

That's what I said - any half competent book keeper can run a general ledger and work out the CT and VAT numbers. But a little bit of guidance on the impact iof S660, interpretation of IR35 status, forward planning on the CT changes in the latest budget, latest interpretation of VAT rules on entertaining and motiring charges, blah-di-blah... ??

It's still pretty cheap - think value , not cost.

[antell]

Company Formation

I would advise anybody considering starting a business to get professional advice from a lawyer or qualified accountant.

However with regard to the narrow question of where to buy an "off the shelf" company, company formation agents used to be very popular in the old days when forming a company was a slow process but these days a company can be formed very quickly. See the Companies House website:

www.companieshouse.gov.uk

[Bradley]

Re:Accountants

That's what I said - any half competent book keeper can run a general ledger and work out the CT and VAT numbers. But a little bit of guidance on the impact iof S660, interpretation of IR35 status, forward planning on the CT changes in the latest budget, latest interpretation of VAT rules on entertaining and motiring charges, blah-di-blah... ??

s660 - no-one knows what to do because the case isn't published yet and even when it is no-one will know what to do other than forget about declaring dividends to other non-income producing shareholders
IR35 - an opinion from an accountant is meaningless unless they're willing to back it up with insurance against the additional costs of getting caught by the Revenue. Lawspeed, Qdos etc do this much better than accountants
CT Changes - what changes? Someone's pulling you leg there mate
interpretation of VAT rules on entertaining and motiring charges
there are no changes under UK law to either of these. What's happened is that the EU has ruled that employees can't under certain circumstances get reimbursed for expenses and claim back the VAT. None of this has been translated into UK VAT law yet and it may never be.

Can I charge you £360 extra for that please?

If not, then by now you will have realised that absolutely no specialised knowledge is required to do contractor books.

It also doesn't matter if the accountant is qualified or not.

[Smarty]

Re: Re:Accountants

Thanks for all the advice.

[malvolio]

Re: Accountants

If not, then by now you will have realised that absolutely no specialised knowledge is required to do contractor books.

Fine, if that's your opinion, you're entitled to it. Personally, my accountant costs me rather less then three days net income a year, and I have better things to do with my time than bookkeeping and watching for detail legislative changes.

Of course if, like the OP, you don't know about or understand all the quoted examples, who's going to tell you? And who's going to tell you if it changes??