Reply to: First contract

[brobi]

Another Choice

You could always use these guys and get up to 86% back! Matter of choice I suppose...

[norrahe]

Stilwellgray (my accountants) set up a cater allen account for me, it took less than a week.
Company set up should cost about £54 and the accountant will handle that for you.

Also before you start your contract you don't need to worry so much about the bank account just the company and vat registration really. but the sooner teh better.

most agencies are ok with having to wait for the details.

[kaiser78]

Abbey do a great no frills business banking and reserve account, no charges and pretty good service.

VAT flat rate scheme is good but make sure you choose your category carefully - set yourself up right and you (without knowing which area you are going into) should be able to get onto a lower %age rate.

Also don't pay more than £50 for company set up.

Whatever you do, don't go for the umbrella option - it is not that arduous to go it totally alone...

[Gonzo]

If you don't have a business bank account in time, I see no reason why you couldn't provide your personal bank details, get paid into there and transfer the money into the business account later.

Limited Companies are separate legal entities in their own right and their money is not yours. Never get your company and you mixed up.

[Alan @ BroomeAffinity]

Get an accountant to do it. We incorp for nowt for new clients.

[ratewhore]

I am going to be forming my own limited company, the £75 fast company formation ad I keep seeing on here seems like quite a good deal.

What do you get for your £75 which makes it a good deal? I paid around a third of that using these guys. Online formation, quick turnaround, used them for 2 companies so far and can recommend them.

All the best...

[TheFaQQer]

Hence why I said "where possible." ;-).

It's always possible - whether it is desirable or not is a completely different matter.

Won't the tax man frown on that?

No - why should they? When you first registered for VAT, you don't know what the paperwork involved is, until you have a look in more detail. At that point, you decide that it is worthwhile to swap to FRS based on the time you save doing a VAT return, not for any other reason.

Also with the FRS you can claim the VAT on some goods over £2k.

Yes - but if you aren't on FRS then you can claim the VAT back on all VATable items. As I said - do the sums, and if it's worthwhile, then move onto FRS when you can (at the start of the next VAT period), if you want to go that route.

[blacjac]

HSBC set ours up same day, all they needed was a certifed certificate of incorporation, which we got in PDF form when forming the company. Just printed that out and took it to the bank.

[pmeswani]

... once you have done the sums and made sure that this is right for your business. As has been discussed elsewhere recently, for some it does not make sense to be on the scheme.

Hence why I said "where possible." ;-).

Additionally, it may be better to buy all the big things up front and claim the VAT back on those, and then move to the FRS.

Won't the tax man frown on that? Also with the FRS you can claim the VAT on some goods over £2k.

[BrilloPad]

If you don't have a business bank account in time, I see no reason why you couldn't provide your personal bank details, get paid into there and transfer the money into the business account later.

I wish that wre possible. Cos then I would just do a runner and leave the agency liable for PAYE.

Is there any agency stupid enough to fall for that?

[Platypus]

If you don't have a business bank account in time, I see no reason why you couldn't provide your personal bank details, get paid into there and transfer the money into the business account later.

[TheFaQQer]

I have just got my first contract, starts on Wednesday so need to get set up quite quickly.

I am going to be forming my own limited company, the £75 fast company formation ad I keep seeing on here seems like quite a good deal.

The company will also need a bank account, which normally seems to take a few days to sort out, is there a bank that will set things up more quickly?

thanks
Helen

Congratulations - have a

[TheFaQQer]

Where possible, try and go for Flate Rate Scheme for VAT.

... once you have done the sums and made sure that this is right for your business. As has been discussed elsewhere recently, for some it does not make sense to be on the scheme.

Additionally, it may be better to buy all the big things up front and claim the VAT back on those, and then move to the FRS.

If you have applied for VAT registration, you need to invoice without VAT, but say "VAT registration pending" on the invoice. When you get the registration, then invoice just for the VAT.

[Alan @ BroomeAffinity]

You don't need a business bank account on day one of trading. As long as it has been set up before you get paid, then that's the main thing. As already stated, banks would need to do a few checks for money laundering protection, etc. As part of the formation, I am assuming that you will be set up for VAT, PAYE, etc. etc. Where possible, try and go for Flate Rate Scheme for VAT.

Some agencies require business bank account details to be provided before a contractor goes on site. Probably to do with money-laundering.

[pmeswani]

I have just got my first contract, starts on Wednesday so need to get set up quite quickly.

I am going to be forming my own limited company, the £75 fast company formation ad I keep seeing on here seems like quite a good deal.

The company will also need a bank account, which normally seems to take a few days to sort out, is there a bank that will set things up more quickly?

thanks
Helen

You don't need a business bank account on day one of trading. As long as it has been set up before you get paid, then that's the main thing. As already stated, banks would need to do a few checks for money laundering protection, etc. As part of the formation, I am assuming that you will be set up for VAT, PAYE, etc. etc. Where possible, try and go for Flate Rate Scheme for VAT.