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Is it worth keeping my limited company active now that I earn less?

3 replies

LegsForever · 04/01/2016 12:27

DH and I started a Ltd company together 3 years ago when he was doing some very lucrative contract work and I was just starting out in my new profession as a therapist. Originally we both put all our invoices etc. through the company.

Since then he has gone into permanent employment and I have continued working through the company, and my earnings have been typically around £1000 a month maximum.

Recently I took a lot of time off because we had a big building project done and so I earned even less during that time.

I am reaching the end of the financial year for the company and I just don't know what to do with it. I only have approx £8500 in the company account, having taken absolutely nothing out for the whole year except for some expenses amounting to about £400.

Our accountant charges £1000 to do the company accounts, which is just silly considering the earnings, and so DH has suggested I should be able to do that myself - I don't feel at all confident about that I must say.

My preference is to just close the company down and take the money out as salary (retrospectively), but I am interested to know if I am missing something in terms of benefits in having the company active.

The only thing I can think of at the moment is that DH might need to go contracting again if his current employment finishes - but who knows when that might be!

I would be so grateful if you have any suggestions anyone.

OP posts:
Emmathebookkeeper · 04/01/2016 22:54

Hi,

Perhaps you should post this on www.ukbusinessforums.co.uk/
There are many accountants who will be able to advise.

All the best
Emma

LegsForever · 05/01/2016 08:02

Thanks Emma.

I spoke to my accountant yesterday and he advised me to close it.

Useful to know about that forum though, so thanks for that.

OP posts:
Emmathebookkeeper · 05/01/2016 08:32

No problem, glad you got it sorted out.

All the best

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