Re: FN-FORUM: Setting up a joint ownership company

date posted 1st October 2007 17:53

The idea of being a 'Limited' company is so that the liability is
limited and that you as a director cannot be held erm... liable :-)
As long as you act in a proper manner regarding directing the company
then if it all goes belly up you are not going to be put through the
mill. The thought of having two or more companies is a good one
except that you will then pay two lots of everything, including
corporation tax, accountancy fees, VAT returns and so on - whilst
this may not add to the overall outgoings, it will be twice the
headache.

You could also set up a company and 'trade as' another name if you
want to split the affairs a little bit.

I understand the logic of wanting to do this, and earlier this year
we thought about it as well, but have decided that it is more trouble
than it is worth. We created a limited company that has three core
areas of business... and may soon be adding to that with a number of
services we are developing. It should all sit under one roof quite
happily.

Hal

--


On 1 Oct 2007, at 17:42, James Herrington wrote:

>
> Hi everyone,
>
> I'm currently looking into setting up a joint company with another
> freelance developer, providing several online applications for
> public use. The current idea is that we setup a public limited
> company for each application (each application will be very
> different) and have a 50% share in the company each.
>
> I was just wondering if anyone knows of any good sources of
> information on this topic?
>
> Also if anyone has any experience or advice on what to look out for
> etc. then i'd love to hear it! My main worry is that if everything
> goes tits up i could be left liable and end up with a hefty debt,
> does anyone know if this is correct?
>
> Thanks in advance,
> James
>
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