My wife and I are about to start a camper van rental business.
We are trying to weigh up pros and cons of running it as a limited company.
There are a number of considerations.
1. P11d BIK
The Van will be rented through an agency and will be available for rent 365 days of the year. However, on occasion, if it has not been rented, we may decide at the last minute to use it ourselves.
We run various other businesses and are very busy, so this will be the exception rather than the rule.
Is HMRC likely to treat it as being available for personal from a BIK perspective even though we are not using it? I have discussed this with our accountant and he feels that it is a fair rationale to say that while it is available for rent, it is not available for personal use.
Any other perspective would be gratefully received.
2. Transfer of ownership.
We have not yet set up the company but have bought the van in preparation. Is there any problem selling the van to the company at cost?
3. Will we be able to claim 100% capital allowance and roll the loss forward to offset against tax in future years? Or would it be better to depreciate the asset?
Many thanks in advance for any input here
Also if anyone can think of other considerations that will help decide whether to incorporate or not that would be useful