Doing a little preliminary investigation, appreciate people's thoughts/ideas...
Before we start:
Yes - if/when things get real, I will indeed be speaking to my accountant before proceeding.
Yes - I have searched, and I know this topic has come up before here, but I couldn't find then right search terms (hoping NLUK will be along presently to do this for me!)
Currently:
I am contracting through my Ltd, me/partner 50/50 shareholders.
Got a reasonable warchest in the company - should see me through 1 year on the bench.
Just got renewed for 3 months with possibility of additional work as we're kicking off a business case currently for additional scope.
Was approached by an ex-colleague this week, who wants to jump ship from their permie role and is looking around. They've floated the idea of joining up and creating a "consultancy" style business.
Initial plan is for them to grab a 3-6 month contract to a) see out restrictive covenants they have; b) give them something to do whilst we build up a pipeline of work.
I have a couple of contract opportunities that I'm working on that would fit them nicely, so they should be able to walk into something straight off.
Although I'm doing fine currently on my own, they look set to jump regardless and it would not do either of us much good to be competing for contract gigs in what is a pretty niche space for us.
I am interested in the joint consultancy gig also - gets me out of the comfy chair I've settled into over the last 18 months.
I've done a few other bits of work alongside my existing project. They have some decent leads. So there is definite opportunity for getting a decent stream of work, and not relying on typical 6 month+ contractor gigs, which is what I would do if I stay as-is.
So ... what's the options for setting this type or arrangement up in terms of Ltd ?
1. I could close my Ltd down, and we could spin one up together 50/50 shareholding (well, 25% each if we include both our partners as shareholders).
Assume I would not qualify for ER, if I'm spinning up another Ltd doing something similar ?
2. Each have out own Ltd, and our Ltds as the shareholders in a "billing" company ?
3. Them join my Ltd, but then it seems a mess as to what to do with the existing capital (i.e. it's mine !), and I believe there would be a cost of buying the shares, etc ??
4. Something else ...
Appreciate comments from this learned community !
Before we start:
Yes - if/when things get real, I will indeed be speaking to my accountant before proceeding.
Yes - I have searched, and I know this topic has come up before here, but I couldn't find then right search terms (hoping NLUK will be along presently to do this for me!)
Currently:
I am contracting through my Ltd, me/partner 50/50 shareholders.
Got a reasonable warchest in the company - should see me through 1 year on the bench.
Just got renewed for 3 months with possibility of additional work as we're kicking off a business case currently for additional scope.
Was approached by an ex-colleague this week, who wants to jump ship from their permie role and is looking around. They've floated the idea of joining up and creating a "consultancy" style business.
Initial plan is for them to grab a 3-6 month contract to a) see out restrictive covenants they have; b) give them something to do whilst we build up a pipeline of work.
I have a couple of contract opportunities that I'm working on that would fit them nicely, so they should be able to walk into something straight off.
Although I'm doing fine currently on my own, they look set to jump regardless and it would not do either of us much good to be competing for contract gigs in what is a pretty niche space for us.
I am interested in the joint consultancy gig also - gets me out of the comfy chair I've settled into over the last 18 months.
I've done a few other bits of work alongside my existing project. They have some decent leads. So there is definite opportunity for getting a decent stream of work, and not relying on typical 6 month+ contractor gigs, which is what I would do if I stay as-is.
So ... what's the options for setting this type or arrangement up in terms of Ltd ?
1. I could close my Ltd down, and we could spin one up together 50/50 shareholding (well, 25% each if we include both our partners as shareholders).
Assume I would not qualify for ER, if I'm spinning up another Ltd doing something similar ?
2. Each have out own Ltd, and our Ltds as the shareholders in a "billing" company ?
3. Them join my Ltd, but then it seems a mess as to what to do with the existing capital (i.e. it's mine !), and I believe there would be a cost of buying the shares, etc ??
4. Something else ...
Appreciate comments from this learned community !
) ... it was more around the formation of the Ltd(s) to start things off.
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