Umbrella company Vs Own Ltd company

Dear friends,

I have recently got a new contract and If I should work through an Umbrella company or my own Ltd company for billing purpose? So far, I have always worked in permanent role and this would be my first contract role. Is operating through my own company straight forward? I do not mind going through paper work as long they are welldefined and I have all the information available on internet.

I am on Tier1 and would apply for extension sometime in July. Is extending Tier1 when you are working through your own ltd company seamless?

Could you please suggest a good Umbrella company? It shouldn't be rip off for my take home

Many thanks,
T1_mainframe

Running a limited company should not be underestimated. Before you incorporate one you should do a fair bit of research into exactly what it involves and what your responsibilities as a director will be. There is plenty of information out there on the internet; potentially http://www.businesslink.gov.uk is a good place to start.

By doing your research now, it will save you a lot of headaches, and I daresay, a lot of money further down the line. Many people start a limited company on a whim because they think it's an easy way of saving on tax - however this is only one factor and ultimately this route may not be for you if you consider other things.

As for umbrella companies, just do a search on the internet and pick up the 'phone. Again consider whether low cost is the way forward - sometimes you really do get what you pay for.

All the best.