Clean It Up

UK Window Cleaning Forum => Window Cleaning Forum => Topic started by: david mark on December 31, 2014, 02:57:58 pm

Title: v.a.t freshhold
Post by: david mark on December 31, 2014, 02:57:58 pm

Near v.a.t fresh hold all my work if residential to guys on hear that have been in this situation do you stop getting more work or go vat reg and charge the customer or do you start a second window cleaning business  as a ltd company is this legal.

Title: Re: v.a.t freshhold
Post by: edward1 on December 31, 2014, 03:12:44 pm

best ask your accountant about the ltd company,my understanding is that if they c you as one business then u will have to pay vat on the whole lot.i think u can split the business if different ie commercial business and a domestic business.but a grey area.

I went vat severasl yrs ago and pay a flat rate of 12% .so loose out on the domestic and gain on the commercial. I did it mainly as I have a lot of commercial.

I would be tempted to stay as u r ,unless u want to grow your business i think u need at least 3 vans if u are going to expand.3 vans will give u 1 income (hopefully)
but employing is not easy .its a different game to dong it on your tod.

good luck

Title: Re: v.a.t freshhold
Post by: david mark on December 31, 2014, 03:25:16 pm

thanks for your advice

Title: Re: v.a.t freshhold
Post by: Soupy on December 31, 2014, 03:29:18 pm

It's up to you; stay under the threshold if you are happy with that or continue to grow.

If you try to split it up solely for the reason of staying under the threshold you'll end up in trouble, it's illegal.

Perhaps franchising is an option?