Set up Ltd Co

Boodidle

Has anyone changed a sole trader to a Ltd company? I know it's possible to do it through Companies House I just don't don't know whether it's wise to do it.

slackda

List the benefits of changing to a Ltd company.....and associated costs/requirements....

SWOT it

burg

There are many aspects to consider.
There is not just a simple yes or no.

You need to consider:-

Does the person understand the differences (i.e. that the money is not theirs and that the company is a legal entity in its own right of which they are an employee, the extra legal responsibilities)
The tax advantages/disadvantages
The possible personal assets protection
What reasons does the client have for wanting to incorporate

Boodidle

I meant for a client

Anne Boleyn

Limited companiy

Hi Boodidle

Do you mean you don't know whether it's wise for the client to incorporate or that you don't know if it's wise to go through Co House or you don't know how to incorporate a sole trader.

If you could elaborate and provide more detail I'm sure someone would advise you.

Regards

Boodidle

I mean a client who is sole trader and has 2 shops would like to change status to Ltd, I'm just not sure whether a solicitor should do it rather than me.

Thanks Anne and I'm sorry for the confusion, it's probably because I'm trawling through the letters of engagement and trying to adapt to my circumstances.

slackda

Good Point Anne, sorry should really wait till my lunch break to look at the forum and answer stuff.......

Boodidle, should see why you should be able to do it its simple enough process i think.

burg

You do not really need a solicitor unless you are forming a very complicated company. Even then most formation agents can do it.

I have used these before:-

https://www.quickformations.com/

this is the package I often use:-

https://www.quickformations.com/site/proagents.qmd

Boodidle

Thanks