Limited Company as part time income?
Limited Company as part time income?
Author
Discussion

Homer Jay

Original Poster:

167 posts

180 months

Monday 21st February 2022
quotequote all
Hi,

Do you think is a good idea to register a limited company knowing that I am not going to get a lot of money from it?

I don't want to leave my full time job right now but I would like to try a new thing on my own to see if it works.

How much should I expect to pay on accountancy, regardless the income? 100 pounds a year?

Thank you

Louis Balfour

28,176 posts

238 months

Monday 21st February 2022
quotequote all
Homer Jay said:
Hi,

Do you think is a good idea to register a limited company knowing that I am not going to get a lot of money from it?

I don't want to leave my full time job right now but I would like to try a new thing on my own to see if it works.

How much should I expect to pay on accountancy, regardless the income? 100 pounds a year?

Thank you
Unless what you are doing is risky, I would do it as a sole trader.

A limited company requires compliance and, unless you know what you are doing, you will need a book keeper or accountant to help you. Even if that is only a few hundred pounds per annum, it is still a dent in your profit.


ecs

1,373 posts

186 months

Monday 21st February 2022
quotequote all
The super basic rule is; if you're making less than ~£40k a year or doing something that's not particularly risky then don't bother with an Ltd co. You can work self employed alongside your perm job and complete a tax return every year to declare any additional income.

I was paying my previous accountant in the region of £100+VAT/month and my current one is £70+VAT per month for my single employee Ltd co.

Knoxville2410

292 posts

75 months

Monday 21st February 2022
quotequote all
My partner and I run a side business that is a registered ltd company. It's a professional services company so for reputation sake would need to "look legitimate".

I'm quite clued up on how it all works and we pay an accountant around £400 a year to file our accounts and corporation tax return.

Being a ltd company doesn't have to be expensive if you are prepared to do some of it yourself.

Homer Jay

Original Poster:

167 posts

180 months

Sunday 27th February 2022
quotequote all
Thank you!

Countdown

44,952 posts

212 months

Sunday 27th February 2022
quotequote all
Homer Jay said:
Hi,

Do you think is a good idea to register a limited company knowing that I am not going to get a lot of money from it?

I don't want to leave my full time job right now but I would like to try a new thing on my own to see if it works.

How much should I expect to pay on accountancy, regardless the income? 100 pounds a year?

Thank you
What are you expecting for that £100? If you do all the bookkeeping, give your accountant a trial balance along with your P60 and ask him just to file the SA return then you might get a non-qualified Accountant to do that for £100