There are many different ways of entering business,
the favourite ones being a sole trader, a partnership or limited company.
Each has benefits to offer the owners, while each has some disadvantages of
which the owner should be aware of. The formation of a new business with
the associated funding issues and legal requirements means that it is best
to have a good accountancy team supporting your efforts, we at Rory McCoy & Co
have years of experience in the formation and start-up of many different businesses.
The choice of legal structure of a new business often depends on personal preference,
financial resources and the degree of control sought by the person(s) starting up the venture.
A sole trader is a business that is owned and controlled by one person.
This structure is very attractive for those business people who wish to retain total
control and ownership of the enterprise. In legal terms a "sole trader" is described
as a person trading under his/her own name, or a registered business name
A partnership is defined in legal terms as the relation, which subsists between persons carrying on a business,
with a view to profit. In effect, it is an extension of the idea of the sole trader,
which covers the cases where two or more people join together to start a business.
Partnerships can have up to twenty members, some of whom may be "sleeping partners",
who have contributed capital to the enterprise, but who have no say in the running of the business.
A limited company is a separate legal entity. It is entirely separate from its owners,
who are shareholders and from its directors, who will make decisions on behalf of the company.
As a separate entity it has sole responsibility for its debts, which frees its owners from this responsibility.
Its liabilities are limited to the paid-up share capital, hence the company is said to have "limited liability".
We will assist you in assessing the feasibility of your proposed business venture,
and advise on the most appropriate structure. We will also:
- Assess the viability of the proposed venture.
- Advise on the most appropriate business structure e.g. Ltd Co., Sole trader etc.
- Arrange for Tax registration
- Advise you of any incentives which may be available by way of Tax breaks, grants etc.
- Prepare your business plan including cash flows and projections
- Submit same to the relevant financial institutions
- Negotiate with the relevant financial institutions on your behalf
- Completion and Submission of Grant Applications
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