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Replies
Which is better depends on your personal and business circumstances, turnover, loans, liabilities and contract commitments etc.
There is no one size fits all answer.
Thanks
Regards Jim
Simpler to start as a sole trader, paperwork is easier, tax is easier, HMRC is easier, really depends on personal circumstances.
Many sole traders do their own accounting, keeping costs down, very likely a limited will need a payroll, and an accountant easily adding £1k to the years expenses.
I started as a ltd, did all of the accounting and payroll for a year and realised just not enough hours in the day to continue doing it, and I needed to regularly read up on rules and tax, way too much for my brain, now have an accountant.
Did it that way as when I started we lived on government benefits, sole trader status would have caused us loads of problems, ltd helped us stay stable.
As income increases there are tax benefits of a ltd, always worth a thought if future growth is on the cards.
Anyone can start a ltd now, don't even need a company secretary, perhaps it doesn't carry the weight it did many years ago?