Limited Companies – Management Accounts

Limited Companies – how can we help you

Running your business as a Limited Company is the most complex of the common business structures but it does offer a number of benefits that operating as a sole trader or partnership doesn’t.

Establishing a limited company is a relatively straight forward process. Stewart Accounting Services can assist you with the process. There are also online management of this type of business. Provided the name of the limited company, the company can usually be set up at Companies House within a couple of days or can be done online. A limited company is a separate legal entity from the owners (shareholders) and managers (directors).  Management of the business accounts is also less hassle. The company’s debts and liabilities are the responsibility of the limited company management and not the shareholders and directors.  The exception to this is that if a director or shareholder gives a personal guarantee to a lender or creditor then if the company is unable to pay this debt the guarantor would be personally liable. There are a number of advantages and disadvantages of running your business as a limited company: 


  • Limited Liability – Shareholders and Directors are only liable for the money they have invested in the limited company and are not personally liable for any of the company’s debts if the company is unable to pay the debts.
  • Prestige – Limited companies are seen as more stable, established and professional.
  • Tax benefits – if profit extraction is managed by salary and dividends then there are tax savings compared to a sole trader or partnership


  • Cost – professional costs tend to be higher for a limited company than a sole trader or partnership.
  • Public scrutiny – Limited company management must submit abbreviated accounts with Companies House.
  • Losses – limited company taxable losses are locked into the company therefore can’t be offset by the directors or shareholders against their other personal income.


We took on Stewart Accounting Services over a year ago after finding we were chasing our tail with our previous accountants. Stewart Accounting Services have been nothing but helpful to our business. We have been in business for 23 years now and Marks advice and professionalism and has been second to none, letting us get on with our day to day work. We would highly recommend Stewart Accounting Services to any new or established company who want great service and advice from a company who use the latest online technology to get information to you quickly and efficiently - whether it be Tax returns, HMRC information or advice.

Man Doing Computations On His Notebook