How do I set up a limited company?

Hillier Hopkins LLP

Chartered Accountants & Tax Advisers

Call +44 (0)330 024 3200 and discover how we can help you.

Deciding whether to begin limited company contracting is a decision which often involves weighing up the pros and cons. The main downside that usually weighs against the many advantages of contracting is the administration associated with running a company.

Limited company contracting provides a great deal of freedom and financial advantages. With Hillier Hopkins, you can enjoy all of this without any of the hassle. Our specialist contractor accountants will take care of you every step of the way, from setting up your limited company to providing expert advice on important issues such as IR35, and all the paperwork in between.

Your contractor accountant will be personally appointed and will keep you informed every step of the way. Meanwhile, we leave you to focus on what you do best, fulfilling your contract and enjoying the rewards from it.

The accounting service that we provide will be tailored to your personal requirements, so the following is intended to provide you with a basic idea of what you can expect from us.

How to set up a limited company

Setting up your limited company needn’t be a great deal of effort on your part, you’ll be glad to hear if you are new to contracting. We offer a range of services to ensure that doing so is quick and hassle-free, including:

• Informing HMRC that we are acting on your behalf
• Supplying you with an engagement pack, outlining our terms
• Checking your identification documents, to comply with Money Laundering regulations
• Helping you to select and apply for a VAT scheme, suited to your circumstances
• Applying for a PAYE scheme in your company’s name
• Supplying and explaining the forms needed to be submitted to Companies House if you are forming a new company
• Helping you to choose a company bank account and professional indemnity insurer
• Providing a planning and management tool to help you to keep track of your finances.

All we need you to do is:

• Sign and return your engagement letter, which forms our contract
• Decide which fee structure you’d prefer – we provide two core packages to choose from, with optional additional services
• Ask us about anything you don’t understand or would like further details on
• Keep us informed about any changes in your circumstances.

If you have an existing accountant, we will approach them on your behalf for professional clearance to take over your tax affairs. We will also arrange for them to hand over any essential information that they hold on your behalf.

Saving tax as a limited company contractor

Our contractor accountants guarantee to have you operating as tax-efficiently and risk-free as possible, once your limited company is up and running. We do this by:

• Developing a remuneration strategy tailored to your needs
• Providing bespoke advice on how to minimise your tax liabilities
• Sharing specialist financial planning advice through our wealth management offering
• Providing updates and compliance advice on changes in legislation and policy affecting you
• Protecting you from tax risk by:
o Providing an expert opinion on the IR35 status of your contract
o Defending you in the event of a tax investigation.

Comprehensive accounting services for contractors

Our specialist accountants also promise to keep your administrative workload to a minimum by taking care of the necessities, including:

• Familiarising you with our cloud accounting platform (cloud users)
• Providing templates to help maintain your accounting records (spreadsheet users)
• Running a payroll for the director and partner, and completing returns on your behalf
• Preparing and submitting your:
o Corporate tax returns
o Personal tax returns*
o Company accounts and tax computations
• Providing company secretarial assistance, including completion of your annual return
• Continuing to deal with all matters relating to HMRC and Companies House
• Providing unlimited telephone and email support.

* Included within our standard fee, we will prepare the tax return of the main fee earner in the company. We reserve the right to charge an additional fee if tax affairs are particularly complex, although this is unusual.

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