The UK has enjoyed a long history of peace and is known to be a stable, independent, democratic country, with a legal and political system derived from English Common Law. The UK is an ideal place to conduct business, as English, the primary language, is lingua franca in many locations across the globe.
The UK has easy access to world markets and for business travellers, the capital, London, is reached by daily flights from any destination.
In terms of company incorporation, a limited company is a separate legal entity from its owners, so any profits arising from the business are taxed differently from a sole trader’s or partnership’s profits, presenting opportunities for careful tax planning.
The owners or managers are taxed only on the income they take from the business, such as dividends and salaries. This is an advantage over unincorporated businesses, as these are deemed to be the proprietor’s possession and therefore he or she is taxed on the full profits earned by the business, regardless of how much is drawn out from it for personal use.
The remaining profits in a limited company, after corporation tax is paid, can be extracted by the shareholders in several ways, presenting greater opportunities for tax planning. The company can declare dividends that can be paid to the shareholders. These are not subject to National Insurance.
There are numerous factors involved in setting up a company in the UK. We offer four packages; our cheapest one is just US$400. Our packages are free from hidden fees.