Expert Tips

The startup journey is an exhilarating rollercoaster ride. You've poured your heart and soul into your innovative idea, but to turn it into a reality, you'll likely need funding. Fear not, there's a wealth of funding options available, each with its own advantages and considerations. Let's navigate the exciting, yet sometimes bewildering, landscape of startup funding.

An update from OnTheGo Accountants on COVID-19

March 2020 Budget: OnTheGo Accountant’s Summary

From 6th April 2020, if you’re UK resident and sell a residential property in the UK, you’ll have 30 days to report any gains to HMRC and pay any Capital Gains Tax due.

IR35 - Considering your options in Private Sector

I think… ‘what on Earth have you managed to get all over your face now?!’. Three baby wipes and several tears later, that thought is followed by ‘what am I actually doing to provide for your future?’. The business is going well and we have some savings, but I’m not sure that 57pence I made in interest last year is going to fund you through university, or pay for your first deposit on a house, or allow you and your boyfriend to make countless trips to Amsterdam because you’ve suddenly discovered an interest in Dutch architecture – I’m not falling for that one baby! So, let’s consider the options: Stocks and Shares Investing cash surplus in the stock market is the high risk, full throttle option but can yield some good returns. You have the option here of investing directly through your company or drawing a loan from your company to invest personally. This would allow you to take advantage of the Capital Gains allowance. This is afforded to individuals but not businesses – but make sure you are aware of any interest/tax implications with your loan. Take care also when trading through your business that you do not run the risk of being considered an ‘investment company’ as opposed to a ‘trading company’. This could pose a threat to your claim for Entrepreneur’s Relief in the future. Property Whether through your current Ltd company or financed by the same through a separate entity, rental property investment has become increasingly popular in recent years and rightly so. This route allows you to inject your cash into an asset that will hopefully increase in value over time whilst making you a return on monthly rentals. That income can then be extracted tax efficiently or reinvested in additional properties. By doing this through your company, you can also benefit by expensing the full amount of your finance costs incurred i.e. mortgage interest which is no longer available to landlords on an individual basis. Be aware that it can be harder for companies to obtain a mortgage initially so this may only be viable if you have been trading for a certain period of time. High Interest Accounts A lower yield than the above options however there is no work involved with this one and far lower risk involved. Typically with higher interest accounts or bonds, you will agree to tie your money up for a minimum period ranging from a few months to a few years with the reward providing you with a higher interest rate than regular current accounts. Note there may be penalties if you decide to withdraw your cash sooner than the agreed timeframe. What do you think then baby? Oh! Now you sleep – why does this always happen when I talk accountancy with you??

Every year all Limited Companies, even dormant ones, are required to submit Annual Accounts. Late submission of these Accounts will result in an automatic fine, and a substantial one too! So when do you need to file your Accounts? The main company deadlines are as follows: Company Accounts : To be filed 9 months following the Company's Year End date to Companies House. Corporation Tax : Payable 9 months and 1 day following the Company's Year End to HMRC. Note in this is your first Year End you may have two amounts payable with different due dates. Corporation Tax Return : To be filed 12 months following the Company's Year End. If you fail to meet your Accounts deadline with Companies House, the fines are as follows:

As standard, every individual receives a Personal Allowance – this year the Personal Allowance is £12,500 and is the amount of income you do not have to pay tax on.

A UTR is a ten-digit reference issued by HMRC when you first register for Self-Assessment. Need to register? You have a couple of options; Register directly with HMRC Appoint FileTax ‘N’ Go to register you for a fixed fee of £30.