Business Structures and Starting Up
Choosing a Business Structure & Starting Up
What business vehicle should I choose and why?
When setting up a business in the UK one of the first questions that needs to be answered is what vehicle should I choose to run my business through? The business structure that you choose will determine your legal responsibilities, taxes, personal responsibilities, profits that can be taken out of the business and all the paperwork that will need to be filed. In essence therefore, it is a crucial initial decision for anyone thinking of starting a business. In the UK, most businesses are sole traders, limited companies or business partnerships.
These pages will explain the distinctions between different business legal entities - Sole Trader, Private Limited Company, Partnership, Limited Partnership and Limited Liability Partnership.