Arguably, the most important question you’ll need to ask prior to your company formationis, “Should I register as a sole trader or a limited company?” Your preferred company registration should depend on your business needs in relation to the following:
•company income
•projected business plans
•tax implications
•your company industry/market
•customers/clients
•independent accounting and bookkeeping needs
To help you decide whether your business will be better suited as a limited company or as a sole trader entity, we’ll outline both definitions, their respective advantages and disadvantages, and what the registration process entails.
What Is a Sole Trader?
If your company’s launch is still in its infancy, the premature question of how to register a company as a sole trader will be better understood once you know what exactly is a sole trader:
Essentially, a sole trader is a self-employed individual; and the simple answer to how to register a company as a sole trader is simple to a degree: a sole trader must register a company with HMRC— but more on that later!
Sole traders have full responsibility for…
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What Are the Advantages of Being a Sole Trader?
Sole trader registration is one of the most popular choices of starting a new business in the UK and is particularly common amongst those individuals launching their maiden business. But this is what’s so appealing about being a sole trader:
Read the full article for FREE at https://www.yourcompanyformations.co.uk/blog/which-is-better-sole-trader-or-limited-company/
What Are the Disadvantages of Being a Sole Trader?
To help you make a more informed decision about company registration, take note of the following disadvantages associated with being a sole trader:
Read the full article for FREE at https://www.yourcompanyformations.co.uk/blog/which-is-better-sole-trader-or-limited-company/
What Is a Limited Company?
A limited company is a business structure that is registered at Companies House. Unlike a sole trader, a limited company is…
Read the full article for FREE at https://www.yourcompanyformations.co.uk/blog/which-is-better-sole-trader-or-limited-company/
What Are the Advantages of Being a Limited Company?
The credibility of a limited company and a “proper” business organisation is highly appealing for many entrepreneurs. The following “advantages of a limited company” may convince you to choose this over a sole trader registration:
Read the full article for FREE at https://www.yourcompanyformations.co.uk/blog/which-is-better-sole-trader-or-limited-company/
What Are the Disadvantages of Being a Limited Company?
How to Register a Company as a Sole Trader and Limited Company?
Tax Implications for Sole Traders and Limited Companies
Insurance Implications for Sole Traders and Limited Companies
