Doubt that will even come into play. They are a contractor, so unlikely to create any value for the company, it'll just feed the salary through it, less pension contributions and mobile phone costs. Company will probably be wound down again.You can divide up the shareholding any way you like. There can be tax advantages down the line and certain reliefs and exemptions available to shareholders which might be helpful in certain circumstances. Helpful in that instead of having only one threshold to play around with, you might have two.
Why would you have a 2nd Director?Hi, I'm setting up an Ltd as I will be a Contractor for a new job.
Looked into umbrellas companies, but this way suits best.
A family member (spouse) will be the 2nd Director.
Do I need to make sure the 2nd director has less than 15% of the shares?
So that they are not a proprietary Director?
Or does it matter?
Not necessarily. There could very well be a surplus depending on the industry and economics.Doubt that will even come into play. They are a contractor, so unlikely to create any value for the company, it'll just feed the salary through it, less pension contributions and mobile phone costs. Company will probably be wound down again.
There is no issue with you being the sole shareholder of the company.
This is precisely the reason for setting up a Ltd company, so that the individual is an employee of their own company, which is the entity that has a contractual relationship with the party that wants the services.Are you sure you are a Contractor?
Revenue have strict rules on who is a contractor and who is an employee. The recent court case on food delivery services has tightened the law in this area
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?