First Name:

Surname:

Telephone:

EMail:

To attach your cv, click the "Browse..." button and locate file

 Netsource Launches New Website, February 2010


Netsource attends International Gaming Expo 2010 at Earls Court

 
 
 
5. How do I choose between a Limited Company or an Umbrella Company?
It’s important, from the outset of your first contract to set up your new business in the best way for you, to minimise your long term tax liabilities, while maximising your income.   Your choice is between setting up a limited company or using the services of an umbrella company.

Although the umbrella company route is a simple one to follow, it doesn’t offer a great deal of benefit for individual contractors in terms of reducing tax liabilities.  It’s also important to bear in mind the fees charged and that many umbrella companies insist on either a minimum level of charging or a minimum time for which you must pay for their services.
 
If you operate your own limited company then typically, you will spend in the region of £1000 per annum in accountancy fees, irrespective of how much your company turnover is.   Compare this with how much you will spend on fees paid to an umbrella company.

In terms of your ability to maximise your income, forming a limited company is the most attractive option, allowing you typically to take home a greater percentage of your gross earnings than with an umbrella company.
 
Ultimately, the choice of company will be determined by your own individual needs.  Netsource cannot make this decision for you and recommends that you consult a number of umbrella companies and accountants who can advise on setting up limited companies.  This will ensure you have a fuller understanding of all the options to enable you to make the decision that’s right for you.   
 
If you really don’t have a clue where to start, ask your Netsource recruitment consultant for a list of umbrella companies and accountants.  Please be aware that we do not make any recommendations as to who you should choose when deciding how to proceed as we are not qualified in accountancy and are unaware of your own personal financial circumstances.