'New Contractor Smell'

**malvolio** · 22 February 2006, 11:48

followed swiftly by Exit, stage left, running, pursued by bear...

We'll give you two hours to have a quick read through the threads on this page and come back with an intelligent question or two... all the answers you need are there.

BTW - we live in the real world and pay real world taxation - as will you once you've cleared about £3500. Take a look outside the campus and see what it's like.

**VectraMan** · 22 February 2006, 11:49

If you have a limited company, then that's registered at companies' house and the name has to be unique. As a sole trader I think you're pretty much free to call yourself whatever you want as long as you don't use somebody else's registered trademark. So calling yourself "British Telecom" clearly won't wash, but for small sole traders it isn't really worth the effort and cost of registering trademarks. But obviously if there's somebody else in the same area doing the same thing with the same name, then that'll just cause problems even if you can get away with it legally.

If you don't understand about limited companies vs. sole traders then it's time to do some reading.

**thunderlizard** · 22 February 2006, 15:04

In theory it's OK to work as a sole trader but to advertise under a trading name as long as it's not registered and it doesn't look like you're passing off. In practice, bigger companies (and especially recruitment agencies) can get a bit sniffy and expect the contracts to be held by a limited company.

If you're a full time student, the normal advice might not apply to you. See if there's somebody at your uni who can give more targeted advice. I started contracting as a full time student in the 90s, and the tax rules were a bit peculiar. I can't remember all the ins and outs but I ended up not forming a limited company until towards the end.

**Denny** · 22 February 2006, 17:26

Originally posted by VectraMan

As a sole trader I think you're pretty much free to call yourself whatever you want as long as you don't use somebody else's registered trademark. .

....or something similar. One east end market stall holder got pulled over the coals years ago for calling his little patch 'Arrods' whilst cheekily using the 'Harrods' logo lettering and colouring. The fact that he was selling cheap goods rather than luxury ones and was not based anywhere near Knightsbridge seemed not to matter.

Fahed was not amused.

**VectraMan** · 22 February 2006, 18:21

Originally posted by Denny

....or something similar. One east end market stall holder got pulled over the coals years ago for calling his little patch 'Arrods' whilst cheekily using the 'Harrods' logo lettering and colouring. The fact that he was selling cheap goods rather than luxury ones and was not based anywhere near Knightsbridge seemed not to matter.

Good point. There have also been the cases of the right to use the names "Champagne", "cornish pasty" and "melton mowbary pork pie", which IIRC EU law now protects and limits to only products coming from those areas.

**systemv** · 23 February 2006, 12:41

Cheers for the advice. I checked the Companies House index, and the name I was after isn't registered anywhere, and definetley not in my area. As for tax, as far as I'm aware I can claim back the income tax as a rebate (being a student), but I'll look into it.

**malvolio** · 23 February 2006, 13:22

As regards the tax, it's not a rebate. If you haven't earned anything, you haven't paid any. Therefore your first pay up to the start of the 10% band is tax free. It's not a rebate, it's just that it will get deducted by an employer anyway at a nominal rate then corrected once you get a proper tax code. If you are self employed, though, life is potentialy a bit harder...There's a lot more to it than writing prety websites you know.

Like I said, a bit of research into basic economics wouldn't be a bad start, before you really screw up.

**expat** · 23 February 2006, 13:24

Originally posted by systemv

Cheers for the advice. I checked the Companies House index, and the name I was after isn't registered anywhere, and definetley not in my area. As for tax, as far as I'm aware I can claim back the income tax as a rebate (being a student), but I'll look into it.

Assuming that you don't really care what name you trade under, then getting that right is a relatively simple matter low on the list of what you should be concerned with. Don't let the fact that it's easy to answer make you concentrate on that.

BTW there are 4 types of Co Names to search for on the Co House site, 1 checkbox at a time. If the name was ever registered, basically you can't use it.

There is more than Ltd Co registration: if anybody else is already trading under that name, even without a Ltd Co by that name, they may be able to stop you, even later. It's not as simle as buying a Ltd Co and then it's yours.

How are you going to take the money out? If it's by paying yourself a salary, then you must pay tax as you go along. It's called PAYE. You must pay tax at first not according to what your ultimate liability will be (like 0 if you don't make enough over the year) but accourding to your current tax code.

If you work through a Ltd Co then it is a legal entity distinct from you, and the money it handles is not yours. The company has to give it to you, by one of the legal methods.

If on the other hand you work self-employed, then whether or not you have registered a Ltd Co is irrelevant, you're working self-employed and not through the Ltd Co.

You probably need help, and more than I can give.

'New Contractor Smell'