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Moving from an Umbrella Company to a Limited Company

Have a Specific Question?

Call us today on 0800 230 0213, or make an enquiry for free and friendly advice.

"When I started contracting, I was daunted by the amount of administration that I thought I would need to complete had I set-up through a limited company, so I started through an umbrella. However, about 6 months in, I investigated my options and decided that I would operate through a limited company. Using the solution offered through Brookson has been extremely streamlined with almost no administrative overhead.”

David Falder

Want to know more?

Limited company guide download

Our free guide is a great starting point if looking to set up a limited company.

Download Our FREE Guide

If you’re currently working through an Umbrella Company but want the benefits of running your own Limited Company, then look no further; we can help!

How much more can I earn?

If you’re working through an Umbrella company you’ll typically take home 67% - 76% of your contract value, compared with around 81% - 86% through your own Limited Company.

The below table outlines overall income and compares take home pay as a Limited company and Umbrella company: 

Overall Income

Limited Take Home^

Umbrella Take Home^

£30,000 25,945 (86%) 22,964 (77%)
£40,000 34,153 (85%) 28,940 (72%)
£50,000 42,361 (85%) 34,915 (70%)
£60,000 50,569 (84%) 40,322 (67%)

 

Setup is easy...

There are just 3 simple steps to setting up your own limited company with Brookson. Our specialist advisors are on hand six days a weekto advise you every step of the way through your self-employed journey. What's more we will bring your existing accounts right up to date for FREE~!

  • Incorporation: Our specialist advisors will work with you to incorporate your company at a discounted rate of £40.00 inclusive of VAT through our partner Jordans, which takes approximately 5 minutes over the phone. If you have previously incorporated your company, we can assist you in reactivating it.
  • Business Bank Account: We will assist you in opening one of our specially negotiated and unique business bank accounts with Barclays, RBS and Cashplus - which is free, opened quickly and enables us to receive electronic daily* updates of your business bank account, which enables us to advise you based on real time information.
  • Preparing To Trade: We can provide you with a range of great value business insurance policies, which are tailored for your business so you do not end up paying for anything you do not need. Our comprehensive coverage starts from as little as £34 per month.

 

Arrange a free consultation

 

What are the benefits?

  • The most tax efficient way of working - meaning you’ll keep more of your hard earned money.
  • Higher status with customers - clients often view a limited company in a more positive light.
  • Limited liability - you're not personally at risk of financial losses if things go wrong.
  • Protection of company name - it's automatically protected once you are incorporated.

 

Arrange a free consultation

 

Why choose Brookson's all-inclusive Limited company service?

Unlike some other providers that charge additional fees for certain services, Brookson are committed to providing a first class service, which is why, as standard our all-inclusive service includes:

  • Fast and easy set up with no set-up costs# or tie-in period.
  • Know your tax position when you need to – with daily* updates.
  • Know how much you can safely withdraw from your business, without spending the taxman’s money.
  • Realise your earning potential – now and for the future, with advice on pensions, investments and wealth planning.
  • Unlimited employment status reviews (IR35).
  • Guidance on maximising income.
  • Get support every step of the way with our unique Tax Promise.
  • Specialist Advisors available 6 days a week.

View all benefits of our all-inclusive service

 

Arrange a free consultation

 

How can benefit your Limited Company?

Connect takes bookkeeping and accounting to a whole new level. Packed with intuitive features, it enables you to make decisions based on current information, not past performance. Drill down into transactions, submit expenses, track invoices, check your tax position, see how much you can withdraw - and it is all updated on a daily* basis.

.

Connect is specifically designed to be mobile friendly, enabling you to log in from your smartphone, laptop or tablet and enjoy secure access to all your account details.

Dashboard

presents an online summary of your current business position, updated daily to take the stress out of managing your finances, Dashboard’s single-screen snapshot alerts you to payment deadlines, monies due and invoices paid. Better still, it gives you a snapshot of precisely how much you can safely take from your account every day, reducing the danger of going accidentally overdrawn or not setting enough aside for the taxman.

Money manager

is the most efficient way of organising your finances. It provides you with the crucial ‘one number’ you always need to know – the amount you can withdraw from your business, after accounting for liabilities like tax and bills. You can check your business’ performance at a glance, see how much is in the bank or view your personal and business tax liabilities. There is also a personal tax tracker you can activate to monitor what your estimated Personal Tax bill will be at the end of the year and how much you should have set aside to date.

Expenses

takes the hassle out of logging and claiming for your company expenses with our innovative ‘snap and run’ feature, you can capture receipts with your mobile device and log them online in just a few seconds, so your accounts are always up-to-date and your expenses are organised and easy to see at a glance.

Invoicing

displays your paid and unpaid invoices, allowing you to build your own database of customers, raise and dispatch professional invoices to them in seconds. You can see at a glance which invoices have been paid, when they were paid and which are overdue.

IR35

enables you to organise your assignment assessments in one place. When you have a new assignment, you can submit your contract and details of your working practices to our specialist IR35 Legal Team for review at any time. And if you ever need to prove your employment status, you have the back up of an expert legal opinion and advisers on hand.

Planner

enables you to plan and review your financial year armed with every piece of the data you need, all organised and displayed in one user-friendly application. If you ever worry about missing key financial events, such as tax deadlines or end of year accounts, this intelligent calendar is the personal assistant you always wish you’d had. It spots when payments have been made and missed by reviewing your bank statements daily. It also shows you clearly what is due to happen and when – keeping you in the picture and well-prepared for any milestones that are looming on the horizon.

Tax Planner

saves you time and stress – as well as money. It brings together a library of information, videos and guides to help you plan ahead and consider how to optimise your net earning potential. And of course, because we go the extra mile for our customers, if you have any concerns over your tax planning, our friendly tax specialists are available to speak to you over the phone and ensure your money is working as hard as it can be.

Document Storage

holds your helpful paperwork, documents and key forms, including HMRC correspondence and your Monthly Management Accounts for a minimum of 7 years, accessible instantly and in full, automatically filed by us and easily retrievable by you, 24/7.

Knowledge Centre

is like a 24/7 business advisor, packed with hundreds of pages of valuable information about running your business – tax, employment law, marketing guides, statutory obligations. There are even videos to help you address key issues and avoid common mistakes. It is frequently updated, easy to use and designed to support your business, whatever industry you operate in.

 

Arrange a consultation to discuss our all-inclusive Limited Company Service

Call us today on 0800 230 0213 or fill in the form below and one of our advisors will be in touch.

^ Assumptions: We have assumed that £5,000 of expenses can be claimed across the limited company and umbrella company options and the limited company has joined HMRC’s Flat Rate VAT Scheme at 14.5%  and takes a standard directors fee of £204 per week over 52 weeks, working 40 hours.

† Specialist Advisors available six days a week, Monday to Friday, 8am-6pm and Saturday, 9am-1pm. Excludes weekends and bank/public holidays.

* Excludes weekends and bank/public holidays.

~ We will switch your accounts up to the value of £500.00.

# Company incorporation fee may apply.