How to make the most from money in company bank account?

[Barley]

I have some money sitting in my company account earning no interest, this is a combination of money im looking after for HMRC and money ive not drawn as dividends (to minimise tax liability / spread liability over high/low income financal years).

Would appreciate any advice or suggestions how I can make this money work for me, what do you do with excess money in your company account?

Is it possible to set up a high interest/regular saver/notice account in the company name? Any good accounts you can suggest?
Is it possible to invest the money in stocks and shares in the company name (assuming I have personal provisions to cover any losses)?
Any other suggestions/advice

Thanks

[northernladuk]

This gets asked regularly and you will be able to find questions on each investment idea somewhere on here. What is important is to make sure you know the difference between your money and your company money. You cannot withdraw company money and put in savings etc in your name. It is company money. You have to be very clear with this when considering any type of investment or movement of it.

From memory nearly every option considered failed for one reason and another, mostly due to issue mentioned above, sometimes on the fact you get taxed on the profit and others just aren't worth it.

I don't think any idea proposed so far has been worthwhile.

[Robot]

I have some money sitting in my company account earning no interest,

Is it possible to set up a high interest/regular saver/notice account in the company name?

Thanks

Yes, you can set up a deposit / high interest bearing account.

If you’re on the VAT flat rate scheme, your company will pay VAT on bank interest received... so unfair but true.

Robot

[THEPUMA]

Either use it to offset your personal mortgage or put it in a high interest yielding deposit account. The best ones can be found at Moneyfacts Compare Savings, Mortgages, Credit Cards, ISA.

If done correctly, there are no tax liabilities arising from offsetting your personal mortgage (nor depositting in a personal bank account if the interest rate is higher) although there may be issues with the banks' T&Cs.

Puma

[Scrag Meister]

Yes, you can set up a deposit / high interest bearing account.

If you’re on the VAT flat rate scheme, your company will pay VAT on bank interest received... so unfair but true.

Robot

This was bought up before.

Previous Thread

[Mustang]

I have some money sitting in my company account earning no interest.

Either use it to offset your personal mortgage. If done correctly, there are no tax liabilities arising from offsetting your personal mortgage (nor depositting in a personal bank account if the interest rate is higher) although there may be issues with the banks' T&Cs. Puma

Er.......aren't you confusing the two pockets of money......?!

How can company finances be used for personal mortgages...?!

[THEPUMA]

Er.......aren't you confusing the two pockets of money......?!

How can company finances be used for personal mortgages...?!

No I'm not. The company can choose to deposit its money in your personal bank account if it decides to, provided the correct documentation is prepared.

It's your company. Who is going to stop you from doing it?

Puma

[Mustang]

I stand corrected!

I'd be interested in knowing more if you care to divulge. Otherwise I will follow up with my accountant.

TIA

[Olly]

No I'm not. The company can choose to deposit its money in your personal bank account if it decides to, provided the correct documentation is prepared.
Puma

You've said this a few times now and we're all very interested in how????

Are you doing it yourself and it's stood up to investigation by HMRC?

Thanks Olly

[Newby]

hmmm

I think we would all like to know more - surely its just an interest free loan?