Other Businesses?

[bluedrop]

I don't take much notice of the whole warchest debate on the basis that my Ltd is just one form of many incomes. No point having a warchest if it's better to take it out, pay some tax and invest it elsewhere. Stop thinking that your Ltd is the be all and end all. It isn't.

I've in the past used funds from my Ltd to open a chain of shops, import containers from abroad, set up websites, fund the development of an internet kiosk, purchase stock for an 'IT bookshop', used it to fund development of software and have done so by direct funds, directors loans, loans from one business to another, used the same LTD for different income streams(get's messy that) and also by registering as Self Employed and using the losses of personal income on one(by paying out wages family/partner + other costs) to offset the taxable income on another.

It all depends on your level of risk and your entrepreneurial spirit.

Exactly the 'type' of stuff I wanted to hear about.... ppl, please keep it coming!

[MarillionFan]

Exactly the 'type' of stuff I wanted to hear about.... ppl, please keep it coming!

One contractor even opened a chip shop. But I think that failed.

[stek]

One contractor even opened a chip shop. But I think that failed.

Russell opened a paper shop, but it blew away....

(Ducks for cover...)

[northernladuk]

Risk adverse poppycock.

I agree but you are not taking in to account who you are giving advice to here. This isn't for you it is for Bluedrop.

I don't take much notice of the whole warchest debate on the basis that my Ltd is just one form of many incomes. No point having a warchest if it's better to take it out, pay some tax and invest it elsewhere. Stop thinking that your Ltd is the be all and end all. It isn't.

Again very good for you but again you are not considering the business acumen of the OP. Your personal experience doesn't mean it is always good advice for someone else.

It all depends on your level of risk and your entrepreneurial spirit.

Exactly and I am giving advice to someone in their second contract who had to ask what contract to take, has asked about stress in contracting, asking very basic questions about the finance and was sweating cobs about coming to the end of the first contract.

From that I think my advice on leaving a safe warchest until you get the confidence is still valid.

Doesn't sound like NL is cut out for business best so stick as a contractor. ;-)

This made I laugh

My comments were tailored for the OP. It has no bearing on my (lack) of business acumen.

[TestMangler]

One contractor even opened a chip shop. But I think that failed.

You never give up, do you It's like having a wee dog humping your leg.

Over the years I've had a cafe, two computer shops, prawn fishing boats, a dildo website, an airguns website, a site that did short term loans against vehicles and a website selling catering equipment.

I get a kick out of that stuff more than I do out of contracting, but the easy money of contracting drags you back to it.

I applaud anyone who is willing to try and throw off the shackles and give it a go.

[MarillionFan]

You never give up, do you It's like having a wee dog humping your leg.

Over the years I've had a cafe, two computer shops, prawn fishing boats, a dildo website, an airguns website, a site that did short term loans against vehicles and a website selling catering equipment.

I get a kick out of that stuff more than I do out of contracting, but the easy money of contracting drags you back to it.

I applaud anyone who is willing to try and throw off the shackles and give it a go.

Actually I gave an ultimatum on my contract today. Either you stop messing about and give me access to the development tools(I am not hired to use but would be extremely beneficial for me to learn in my own time and would of course benefit you in due course as well as me) or I'm walking before Xmas.

As TM says, it's the easy money that makes me contract and for that easy money I also want exposure to software/learn skills that will benefit me financially if I carry on contracting. Present clientco is of the view 'We pay you to do X, no more, you will never learn anything on our time or so you can put your rate up' . So £ is not enough for me to contract.

On the flip side, I don't need to work in contracting anymore I could choose anything I wanted and so again as TM says it's the other things (some which are successful/some not so) which is what it's about. The spice of life. I've got half a dozen new businesses I'm interested in, two of which I think would be real winners, it's just that contracting is like a warm reassuring blanket with a big bottle of babies milk. Why risk it?

[d000hg]

Your warchest is not for spending on other businesses. It is there to sit there for immediate access should the worst happen and you can't work or can't find a contract once your current one has ended.

The very word 'Warchest' implies something for longer-term provision, not a few months' cash you keep to hand.

[northernladuk]

The very word 'Warchest' implies something for longer-term provision, not a few months' cash you keep to hand.

Indeed but when the OP is only in to second contract the few months cash is a must in the current climate.

[RobertRice]

I've in the past used funds from my Ltd to open a chain of shops, import containers from abroad, set up websites, fund the development of an internet kiosk, purchase stock for an 'IT bookshop', used it to fund development of software and have done so by direct funds, directors loans, loans from one business to another, used the same LTD for different income streams(get's messy that) and also by registering as Self Employed and using the losses of personal income on one(by paying out wages family/partner + other costs) to offset the taxable income on another.

Very impressive indeed. How do you find time to post on CUK?

[kaiser78]

I agree but you are not taking in to account who you are giving advice to here. This isn't for you it is for Bluedrop.



Again very good for you but again you are not considering the business acumen of the OP. Your personal experience doesn't mean it is always good advice for someone else.



Exactly and I am giving advice to someone in their second contract who had to ask what contract to take, has asked about stress in contracting, asking very basic questions about the finance and was sweating cobs about coming to the end of the first contract.

From that I think my advice on leaving a safe warchest until you get the confidence is still valid.



This made I laugh

My comments were tailored for the OP. It has no bearing on my (lack) of business acumen.

Take a look at the First Timers links on the right hand side if you need to...