What are the main advantages of trading as a Limited Company?
Very briefly, the main advantage is that the shareholders, also referred to as members, have no liability to contribute to any debts the Company may incur beyond the total value of their shares. So if things do go wrong, and provided the Company has not been guilty of fraudulent trading, the personal assets of the shareholders and directors are usually safe. Another useful advantage is that the Company name is immediately protected, as the Registrar of Companies will not allow the registration of another identical Company name. (Please note that Domain Name Registration on the Internet is not automatically protected please ring if you require details). A limited company is classed as a separate legal entity or “person” and can carry on business quite independently of the other activities of its shareholders or directors. A Company has a continuity of existence, the shareholders and directors may change, but the Company will continue. Also, there are usually quite definite tax advantage
