Advice on forming a company

[KnightTemplar]

Hi All,

Firstly, thanks to CUK for providing very helpful information on contracting and forming a company. I'm working as a permanent employee and looking out for contract opportunities after spending more than 10 years on IT development. If my skills match and I'm fortunate to get any contract, I would like to go as a Limited company and want to do some ground work before. I want to form a company now and make it dormant till I get any contract in hand. God forbid, if I don't get any contract job, I have to file returns to Companies House and HMRC at the year end. Is it a straight forward thing to do or do I need a accountant? Normally, I would like to do things on my own with a bit of study unless it involves too complicated calculations and terminology. I'm already filing returns on my self assessment to HMRC every year, so I guess for a limited company it should not be any different especially for a dormant account. If I get a contract and start making money then it would make sense for me to take accountant services. Please advise if I'm doing this right.

Thank you,
KnightTemplar

[BigRed]

Use companywizard.co.uk, pick the cheapest option, share certificates and certificate of incorporation were in my inbox within a day. Why bother until you get a contract?

An accountant will know about all the paperwork, contractors earn too much to bother about the cost.

[Wanderer]

I'd recommend talking to one of the helpful accountants who advertise/post on this forum. They can get you a company up and running in a few days and also give you important advice about the company structure which best suits you.

Getting a bank account can be a bit of a pain, some accountants will introduce you to a bank and help smooth that over for you.

If you go ahead and form a company but it doesn't trade then it's relatively easy to close it again.

[Scruff]

Learning to use the correct grammatical syntax, alternatively, engage an accountant? If English isn't your first language, or you aren't a qualified Accountant, then I'd suggest engaging one well versed in UK Tax Law.

Merry Xmas from an Immigrant.

[KnightTemplar]

Thanks for your replies.

I have got some references from my friends and going through them. Ideally, I would like to do myself the accounts. But, I need a little experience and exposure to the contracting world before doing so. Also, I can't provide my home address as Registered Address because of my Tenancy Agreement T&C. I better off finding somebody who provides this service for free if I go for minimum 12 month accountant service. If you know somebody like this, please advise. For others I have just found w ww.tax-link.com - Contractor Accountant, which I'm accessing right now. If you already know about this, do throw some information.

Cheers,
KnightTemplar

[Wanderer]

I can't provide my home address as Registered Address because of my Tenancy Agreement T&C.

Most accountants will offer this service, sometimes as part of their monthly fee, other times they charge extra. If you are renting and likely to move around then it's probably best to use your accountant's address anyway.

[Wanderer]

For others I have just found Contractor

They say "Low fixed monthly fees. No hidden costs" but there is no schedule of fees there on the website. Hmmm, I would look elsewhere....

[northernladuk]

Thanks for your replies.

I have got some references from my friends and going through them. Ideally, I would like to do myself the accounts. But, I need a little experience and exposure to the contracting world before doing so. Also, I can't provide my home address as Registered Address because of my Tenancy Agreement T&C. I better off finding somebody who provides this service for free if I go for minimum 12 month accountant service. If you know somebody like this, please advise. For others I have just found w ww.tax-link.com - Contractor Accountant,, which I'm accessing right now. If you already know about this, do throw some information.

Cheers,
KnightTemplar

That website just looks like a very poor attempt and keyword spamming. On that alone I would be out.

[KnightTemplar]

Thanks Guys.

I see my knowledge on this new world is improving!! I should agree with you on the previous accountant agent. Now, I'm inclined towards NixonWilliams as at least they seem transparent in what they provide. I will ring them up and get more details as they are on holiday now.

[Craig at Nixon Williams]

I would personally wait until you have a contract lined up before you form a company so that you do not incur any unnecessary cost or admin - a company can be formed very quickly (same day) and you can start trading as soon as you have a registration number so there is no reason to form a company before it is needed.

Our office is now open again so please feel free to call for a chat to our new business team about the process of setting up a company.

Hope this helps!
Craig