What are the options and which one is best for you?
Sole Trader
Just for you working under a brand that you’ve created. Can be done on your own but you may require some further knowledge and/or guidance in the accounting side of the business.
Partnership
A contract/agreement/clear guidance is set in place between you and the other partners prior to starting the business. This should stay in the drawer and only be there for backup. For this type of business you may need a lawyer to help create that agreement and it would be best to have a dedicated accountant for a partnership.
Limited Liability Partnership
Similar to a partnership a legal and tax entity that allows you limit your liabilities to what you are giving to the company. This spreads the risk and builds the skills and expertise from each partner. Being a limited liability allows the partners personal assets and incomes to be protected.
Limited Company
Can be one or more people. Being a limited company means that the business is a different entity to you this means you can be the director and/or shareholder whilst protecting your personal assets.
As always, thank you for listening! Beth