There are many reasons why you may benefit from moving your business to the UK. This article focuses mainly on the advantages of creating LTD companies. If you are not sure if this solution is right for you, do not hesitate to contact us and we will help you choose the right option for your type of business.
It’s easy to get started
Starting up a business in Great Britain is a fast and simple process. The registration usually takes less than 24 hours. Additionally, the UK government tries to make it easier to run a business there, so if you don’t hire any employees, you won’t have to pay any taxes for the first 21 months since creating a company.
Clear & Simple Taxes
One of the main reasons why you should consider moving your company to the United Kingdom is the perspective of decreasing your taxes. The tax- free allowance there is as high as 8164 GBP a year, so it means that you and other directors that you nominate will be allowed to cash out that sum every year free from National Insurance and Income Tax payments
Contact with the officials
Here is something that many people, especially coming from Central and Easter Europe, find hard to believe. In the UK, the administration has a positive attitude towards business. Its mission is to help entrepreneurs rather than to limit them. There is no excessive bureaucracy and laws are clear. Additionally, corruption is not a problem in Great Britain. The proof for that is the PwC’s ranking ‘Paying Taxes’ in which the United Kingdom gets a high position every year. It is also worth mentioning that the tax office in Great Britain, HMRC, is centralized, so there is no risk that one office will interpret your case differently than any other.
British limited companies
An LTD company is a legal entity that gives its members some important rights. First of all, assuming there was committed no fraud, you won’t be liable for any losses or debts that the company will create. Additionally, the required by law share capital is only one pound.
A limited company is an entity that is universally recognized and respected. It will add to your company’s credibility which will have a positive effect on your relations with clients and potential business partners.
UK state pension
After working as a director in your LTD company at least ten years you become eligible for the UK state pension, assuming you exceed the Lower Earnings Limit. At the moment, the lowest pension you might expect is approximately 194 GBP a month.
If have any questions regarding limited companies or accountancy in general, please contact us, or make an appointment for a free consultation and we will be happy to help you.