Sole trader vs limited company – pros and cons explained
Should you run your business as a sole trader or set up a limited company? We explain the pros and cons of each – including setting up, tax and liability.
Limited Company
A limited company brings different tax rules, filing requirements and legal responsibilities.
These guides cover company formation, directors and shareholders, Corporation Tax, salary and dividends, annual accounts and Companies House.
For a larger collection of specialist guides, calculators and company director resources, visit Limited Company Help.
Setting up a company
Directors and shareholders
Accounts, filing and closure
Company tax and expenses
Paying directors and employees
Protection and specialist topics
How to set up a limited company in the UK (step-by-step guide)
Forming a limited company is simple to do online. Here’s what to prepare and the documents you must file with Companies House.
What is Companies House? Functions, forms and director obligations
Learn what Companies House does, the main forms and filings it requires, and the key responsibilities of limited company directors.
Micro-entity annual accounts – what small limited companies must file
When are your limited company accounts due? Learn what to submit to HMRC and Companies House, key deadlines, and what counts as a micro-entity.
What is a dormant limited company?
A dormant company is a standard limited company that doesn’t trade and has no accounting transactions. There are two main situations where owning a dormant limited company can be useful.
Confirmation Statement and PSC rules explained for UK company directors
Your duties as a director when filing a confirmation statement and maintaining a PSC register. Updated for 2025/26 with the latest Companies House rules.
Setting up and running payroll: a guide for small limited companies
Learn how to set up and run payroll for your limited company, including PAYE registration, salary strategy, HMRC forms, and key tax deadlines.
Corporation Tax guide – CT600, rates & deadlines for small companies
Practical guide to UK Corporation Tax for 2025/26. How limited companies are taxed, key deadlines, rates, file a CT600, and reduce your tax bill legally.
What responsibilities and duties does a limited company director have?
If you are a limited company director, you have a number of duties as well as legal and financial responsibilities you should be aware of.
Memorandum and Articles of Association – what you need to know
In simple terms, the Memorandum of Association records each initial subscriber’s intention to form a new limited company.