The 123 Guides

Director's Responsibilities

Business Structure Review

The 123 Way

What is included as standard for a fixed fee of £65.00 + vat per month:

Full Contracting health check - is your business performing as best it could - we'll ensure it is.

If you're new to freelance contracting, we'll ensure you start trading in the right way.

Then you can sit back and relax, your ongoing HMRC & Companies House compliance will be taken care of.

The 123 Way - simple & stress-free.

Directors have to act in the interests of their company and not in the interests of any other parties (including shareholders). This is true for sole director/shareholder companies as well and you must ensure that you put the interests of your company above your own.

These rules are very broad and were written with all companies in mind, from the 1 man contractor to the 5,000 staff national company.

The Companies Act 2006 outlines seven new statutory directors' duties, as detailed below:

Duty to act within their power

You must act in accordance with the company’s constitution

Duty to promote the success of the company

This is about putting the company first - above the interest of anybody else. You must act in a way that is most likely to make the company succeed. When doing this you must also consider:

- The long-term picture of any decision you make now
- How what you do impacts on the environment
- If you employ people you must understand how they will be affected
- How your decision will effect suppliers and customers
- Your decisions must ensure high standards of business conduct
- To act in a fair way for all members of the company.

Duty to exercise independent judgement

You have an obligation to exercise independent judgment. Again, don’t let your own personal interests suppress those of the company.

Duty to exercise reasonable care, skill and diligence

You must exercise reasonable care, skill and diligence and have the general knowledge needed to hold the position of a director. Your responsibilities should not be taken lightly.

Duty to avoid conflicts of interest

Again the interests of the company must come above your personal interests and you should not have any interest that is a direct or indirect conflict of the interests of your company.

Running a Limited Company

Director's Responsibilities

Company Bank Account

Payroll

Salary

Dividends

Limited Company Accounts

Corporation Tax

VAT - The Basics

VAT - The Choices

123 Income Illustrator

The 123 Income Illustrator shows you what you can expect to take home from a given contract.

It also compares the differences between freelance contracting through your own Limited Company, through an Umbrella Company, as a Sole Trader or if you were to return to full time employment.

The123 Income Illustrator

Invoicing

Expenses

Expenses - Detailed Guide P1

Expenses - Detailed Guide P2

IR35

IR35 - Detailed Guide P1

IR35 - Detailed Guide P2

Company Secretarial

123 Referral

We run a simple referral programme where for every client you refer to The 123 Way we will give you £123.00

For more information check out the link below:

123 Referral

Personal Tax

Importance of Information

Important Dates

Being a Sole Trader

Calculators

FAQs

The 123 Blog

To keep up-to-date with tax legislation and 123 news check out the 123 Blog.

The 123 Blog

Disclaimer:
This information is for general information only. No responsibility is taken for any action taken or refrained from in consequence of its contents. Always seek professional advice before acting.

Director's Responsibilities - p2

About us

Running a Limited Company

Contractor Expenses

Freelance

Freelance Case Study

Limited Company Accounts

Being a Sole Trader

Tax Return

Business Structure Review

Business Banking

Umbrella vs Limited Company