alfbalogun
Blogger
Share this content
0
2
2247

Changing from Sole trader to Ltd company

Changing from Sole trader to Ltd company

Hi

I am currently trading as a sole trader and would like to change from trading in this way to being a ltd company, I would like to still trade as normal with my name and srvices the same just want to change legal status. What would I need to do, do I stop trading as sole trader and inform HMRC that I have stop trading as this and wind up my accounts. Then start my ltd company with a fresh set of accounts from scratch with nothing to do with my sole trader company or is there a way I can transfer my account balances from this into my Ltd company and if so how would I do this. Just carry the Balance sheet figures over after the business has been wound up.

Any advice please would be greatly appreciated.

Thanks

Alfred

Replies

Please login or register to join the discussion.

avatar
20th Apr 2012 12:39

Speak to your accountant

You must speak to your accountant as to the pros and cons of incorporation, what you aim to achieve, the additional costs of running a company and how the incorporation process will work.  

Thanks (0)
23rd Apr 2012 12:55

You must get proper advice

Most accountants will have a checklists of items to consider/action when incorporatring. Think ours has 30 plus points that need to be considered. If you deal with your own affairs and it sounds as though you do then you could get advice on this specific matter rather than signing up for the full monty with a firm. A decent firm would probably quote you a fixed fee for this work.

Under no circumstances should you incorporate before getting proper advice - you may think you can save tax (the driver for most incorporations) but if you overlook everything else it can potentially end up costing you more.

 

Thanks (0)