Sometimes IT professionals who are contracting feel it necessary to set up and be employed as a Director or otherwisw of a Limited Company [Ltd]. There can be a number of reasons for this, ranging from tax reasons to limiting their liability during the course of their employment.
So what exactly is a Limited Company, well a ‘Ltd’ company is a private company limited by the shares that it issues. These limited companies are incoroprated by the laws of the United Kingdom. In the United Kingdon a limited company would also have to have a registered Director and also a Company Secretary. A limited company will have to issue shares to shareholders, in essence being a limited company means that the liability of its shareholders to creditors and others is limited to the nominal value of its shares.
Other Links:-
How to set up a Limited Company
Advantages and Disadvantages of Limited Companies for contractors
