any advice appreciated. My friend is looking into setting herself up as a consultant, but isnt sure she will make much money. she needs to register the company soon, in order to get a contract she is interested in, but isnt sure if it will materialise or not. does anyone know , will she have to fork over anything at all, if she is registered, but not earning anything? tia
Like the previous poster said, she should just freelance as a sole-trader. All she needs to do is tell the Inland Revenue within 3 months of setting up (starting the work) that she has done so. She will be liable for NI payments - something like £2-3 a week, but if she makes no profit, she shouldn't have anything over and above that to pay. (Disclaimer - I'm not an accountant, so please don't take my advice at face value - but I think I'm right!)
the contract might insist on a company being used. MrA is correct re the annual return. Accounts would also need to be filed, but a DCA form (dormant company accounts) on the Companies House website could be used and that is free.