Going Limited is a tax planning strategy for small businesses. It is an opportunity to use the structure of a company to pay less tax and avoid paying National Insurance with compromising any benefits.
This is done by using the company to reclassify income as investment income.
Going Limited also allows the business owner to take advantage of various tax reliefs, exemptions and ensure the rate of tax applied to profits is as low as possible.
It is a proven process which brings short, medium and long-term tax savings.
What exactly does it cover?
The main aim of Going Limited is for the business owner to pay the minimum amount of tax.
The Going Limited tax planning takes into account your non business income, the changing economic environment and your vision for the future of your business and your life.
Going Limited starts with a review of your personal financial planning. This is to ensure your tax planning fits your overall financial plans. We then set up a limited company and arrange for your business to be sold in, taking advantage of tax planning opportunities.
After the company has been set-up we ensure the appropriate paperwork completed to ensure any challenge from HM Revenue and Customers can be successfully defended.
Who will benefit?
Sole-traders and partnerships that operate profitable businesses can benefit from Going Limited.
The amount of tax saving depends on a number of factors. These include:
- Profit levels
- Income requirement of the business owner/s
- Corporate and personal allowances and tax rates
- National Insurance rates
- Non business income of the business owner/s
What are the benefits?
The key benefit of Going Limited is the tax savings.
Unless this is likely to exceed £20,000 we would be unlikely to recommend the service because of the set-up costs in terms of time and professional fees.
Based on the current tax rates total tax savings over the lifetime of a business which has profits in excess of £50,000 are likely to be £75,000.
Other benefits include limited personal liability on business liabilities and being perceived as more established. This could be important for a start-up business.
What is your investment?
The fee for Going Limited includes a set-up service fee and ongoing charges.
The initial fee will depend of the implementation arrangements. Some clients will be able to take advantage of advanced tax planning strategies; others will just need a simple arrangement.
The ongoing fees will be driven by the roles and responsibilities around bookkeeping.
What results can you expect?
Going limited will give you:
- The most tax efficient way to run your business
- Tax planning arrangements linked to your personal planning
- Support on business administration
- Full support on legal requirements
Will it work?
Yes! And we guarantee it!
Everyone knows that if a business makes profit tax is inevitable. But, in reality, most busy business owners do not keep their tax bill to the absolute minimum.
Our Going Limited service brings advanced tax planning to small business owners and ensures they keep the maximum legally possible.
You should be expecting at least four times return on your investment. And, you will have non-financial benefit like limited personal liability from company’s debts.
Our guarantee is simple; if our fees for advice and dealing with the Going Limited arrangements are not at least covered by the tax saving you will receive a refund. And, we guarantee to report the profit you make each year. This will be the difference between your tax saving and our Going Limited fees.