I’m starting up in business as a limited company. Is this the most suitable entity for me and can anybody access my accounts?
When starting a business, you can choose what type of entity you want to operate as. Some of the options are sole trader, partnership and limited company.
While there will be advantages and disadvantages for each option, careful consideration should be given as to which type of entity would be best for you. This should be done by looking at all of the criteria, such as any other income you may receive and the level of profits you expect to make.
Your accountant would be best suited to sit down and look at the facts and your personal circumstances to review which option is likely to suit you best.
If you operate as a sole trader or a partnership, your accounts are not published anywhere, with the information simply incorporated into your self-assessment tax return, which is submitted only to HMRC.
If you are a limited company, there is a formal requirement to file your accounts with Companies House and, although the accounts that are filed do not show full information, what is filed is available for any member of the public to access.
If you would like any advice or assistance in this area, please contact us on 01275 390596 to arrange a free initial consultation.