Company vs Umbrella

[craig1]

I just started on my own as an accountant aimed at contractors and freelancers. I did quite a bit of research into umbrellas and still really don't see the point of them at all. Seems to involve paying them huge amounts of money for some complicated structures with little benefit. What am I missing? Though clearly I'm biased.

Either way these new Agency Worker Regulations should cause them some major issues. So best to start a limited company and try and avoid IR35.

Simplicity and an easy life. Work, get paid, enjoy, no paperwork beyond timesheets and an expense sheet. Although you're losing far more money, you still get more than a permie in the great majority of contracts and have a variety of work in different places rather than being a permie.

Not for me but I can see why some do it.

[Moose423956]

I'm about to return to IT contracting after an absence of 3 years, and wondered what the best vehicle for getting paid is now. Is a ltd co still the best option tax & admin wise?

I'll probably will be working no more than 6 months every year...

I've done both. I'd say it would depend on how long you're planning to contract for. Less than a couple of years then I'd go umbrella, longer then I'd go ltd.

I used a decent umbrella co, if you want to know which one then PM me. I'm in no way connected with them so I have nothing to gain from recommending them.

[Animal]

Bad Troll, bad, bad Troll. Shoo!

Doh! Guess I was a little slow there... :-)

Thanks Guys. Might have to feed some of my Local SEO clients through the company to show I'm not disguised employee...

[TimCaprica]

I'm pro company

I just started on my own as an accountant aimed at contractors and freelancers. I did quite a bit of research into umbrellas and still really don't see the point of them at all. Seems to involve paying them huge amounts of money for some complicated structures with little benefit. What am I missing? Though clearly I'm biased.

Either way these new Agency Worker Regulations should cause them some major issues. So best to start a limited company and try and avoid IR35.

[DaveB]

Welcome back - the best plan now is to set up your own ltd umbrella MSC - ideally in Jersey.

Bad Troll, bad, bad Troll. Shoo!

Wouldn't that be a red flag? Would UK agencies deal with a Jersey co?

Go Ltd + Accountant and you won't go far wrong, unless you really dont want to do any of the paperwork. Then go Brolly, but be wary of those offering high returns i.e. anything over 80%.

[Animal]

Wouldn't that be a red flag? Would UK agencies deal with a Jersey co?

[Peoplesoft bloke]

I'm about to return to IT contracting after an absence of 3 years, and wondered what the best vehicle for getting paid is now. Is a ltd co still the best option tax & admin wise?

I'll probably will be working no more than 6 months every year...

Welcome back - the best plan now is to set up your own ltd umbrella MSC - ideally in Jersey.

[Animal]

I'm about to return to IT contracting after an absence of 3 years, and wondered what the best vehicle for getting paid is now. Is a ltd co still the best option tax & admin wise?

I'll probably will be working no more than 6 months every year...