Hello,
I'm an engineering contractor and am thinking of investing in some equipement to allow me to produce one off prototypes in my garage, should it be necessary (or profitable..) to do so at any point in a contract. I want the business to own the equipment (company assets) but I'm a bit concerned that this might imply that the garage is now for business use only, and I don't want to have to start going through change of usage, paying business rates etc, as I expect that I will only ever be using it in this way pretty infrequently.
Does anybody else do this who can offer advise? Also Any advise on how the equipment purchase would need to be treated in my books would be appreciated - at the moment I'm assuming I would just need to identify it as capital expenditure - i.e the same as my laptop which depreciates over time.
Thanks in advance,
John
I'm an engineering contractor and am thinking of investing in some equipement to allow me to produce one off prototypes in my garage, should it be necessary (or profitable..) to do so at any point in a contract. I want the business to own the equipment (company assets) but I'm a bit concerned that this might imply that the garage is now for business use only, and I don't want to have to start going through change of usage, paying business rates etc, as I expect that I will only ever be using it in this way pretty infrequently.
Does anybody else do this who can offer advise? Also Any advise on how the equipment purchase would need to be treated in my books would be appreciated - at the moment I'm assuming I would just need to identify it as capital expenditure - i.e the same as my laptop which depreciates over time.
Thanks in advance,
John
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