https://www.camberleyaccountants.co.uk This is an important decision for all business owners to choose a legal structure. However understanding the difference between being a sole trader and a limited company, can be challenging and confusing. https://cdn.website-editor.net/md/and1/dms3rep/multi/124877.jpeg https://www.camberleyaccountants.co.uk https://www.camberleyaccountants.co.uk/my-post <h3> Understand PAYE </h3> <div data-rss-type="text"> Coming soon!!! </div> Thu, 15 Sep 2022 12:32:11 GMT https://www.camberleyaccountants.co.uk/my-post thumbnail main image https://www.camberleyaccountants.co.uk/sole-trader-vs-limited-company This is an important decision for all business owners to choose a legal structure. However understanding the difference between being a sole trader and a limited company, can be challenging and confusing. <h3> Limited Company VS Sole Trader </h3> <div data-rss-type="text"> This is an important decision for all business owners to choose a legal structure. However understanding the difference between being a sole trader and a limited company, can be challenging and confusing. <div> <br/> </div> <div> Operating your business as a limited Company has numerous advantages, but it all relies on your circumstances, business objectives, and financial goals. </div> <div> <br/> </div> <div> Furthermore, being a sole trader may appeal to you because it provides you with more freedom in terms of personal obligation to people in your firm, but this independence comes with drawbacks. </div> <div> <span> <br/> </span> </div> <div> <span> The key difference is a sole trader is responsible for both personal and corporate debts. This means putting personal assets at risk if business doesn't make any profit. In contrast, the finances of a limited company are separate from the Director's personal finances. So they are only liable for the money they put into the company. </span> <br/> </div> <div> <br/> </div> <div> However, if profits is below £20,000 then there really isn’t much of a difference between a sole trader and a limited company in terms of taxation. </div> <div> <br/> </div> <div> Below is the compare and contrast of Sole Trader and Limited company, for information purpose only. </div> </div> <div> <img src="https://cdn.website-editor.net/s/7701404cd8f94902a8f1d41608e795c4/dms3rep/multi/LCvST-c78cdfeb.png" alt=""/> </div> Thu, 15 Sep 2022 12:23:41 GMT https://www.camberleyaccountants.co.uk/sole-trader-vs-limited-company thumbnail main image