Archive for November, 2014

Salary aside, most limited company directors (and shareholders) typically draw down most of their income in the form of dividends. Dividends are distributed by companies of all types in order to return a proportion of company profits back to their shareholders. The limited company structure is an attractive way for most business owners to work, […]

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A shareholders’ agreement is exactly what the name suggests; an agreement between the shareholders of a company. The articles of association of a company also govern the relationship between the shareholders, but a properly drafted shareholders’ agreement can have many benefits over the articles of association. Most importantly, it is a private contract and therefore […]

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Here are some tax and finance tips which could help you save money as a limited company owner. Dividends are not subject to National Insurance Contributions, which represents a significant tax saving compared to the sole trader route, where NICs are payable on all income. As a limited company director, you may consider paying yourself […]

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Limited companies can distribute profits they generate via dividends to company shareholders. However, you must ensure that all dividend distributions are legitimate, otherwise you could fall foul of HMRC. In order to declare a dividend legitimately, you must firstly ensure that the money exists in the company’s books to accommodate the amount being distributed, and […]

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