Ltd companies with multiple share holders Ltd companies with multiple share holders
Posts 1 to 5 of 5
  1. #1

    PAH111S

    Guest

    Default Ltd companies with multiple share holders

    I currently have a ltd company that I'm joint share holder with 2 other people. The company isn't generating as much profit as we'd like so we are doing other things outside the company to boost income.

    It looks like I may be going back contracting for a while and wonder if there's a way to do the invoicing through the company without sharing the profits (divies etc) with the other share holders. This would also have the benefit of the company having multiple revenue streams so IR35 wouldn't be as much of an issue as it would be if I set up another company for myself.

    Bottom line is if I get a contract I want to keep the proceeds for myself but wonder if there's a way of doing this through a company I don't wholly own.

    Any thought or ideas?

  2. #2

    Bradley

    Guest

    Default Keep it simple

    You could draft an agreement between you and the other shareholders that means that you get the "profits" from contracting.

    This may become difficult if either of the other shareholders is picky about what income you can take as "profit". There's also the problem that you may lose the contracting income if the existing company gets into trading difficulties anyway. A creditor isn't going to distinguish between whats yours and whats not.

    The best thing to do would be to form another company - form an orderly queue please accountant guys! - as this keeps things simple from the start.

    There's not an associated companies problem and a halving of the small cos rate for CT purposes if you don't own more than 50% of the existing company.

  3. #3

    www 1staccountancy biz

    Guest

    Default Re: Keep it simple

    The best thing to do would be to form another company - form an orderly queue please accountant guys! - as this keeps things simple from the start.
    Agree with Bradley, a new company would keep things simple and avoid any unnecessary complications later on.

  4. #4

    WWW ITDoctors co uk

    Guest

    Default Re: Keep it simple

    I don't believe it - you 2 guys agreeing on something

  5. #5

    PAH111S

    Guest

    Default Re: Keep it simple

    Alternatively, a buyout of the other shareholders might be on the cards

    Just need to get a bleedin contract now. I'm assuming Jobserve is still the daddy (most other sites seem to have the same vacancies).

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •