www.iva.co.uk

Currently in an IVA, and considering starting a Limited company to do some additional freelance work.

I understand that any additional income would be shared with my IP to share with creditors (50 % ?).

But would being in an IVA cause any issues when setting up the company with an online provider such as 'Companies made simple' or 'Company formations 247' ?

It would be a one man band i.e. solitary director / shareholder.

Hi Ben. The only obstacle would be finding a business bank account ( required by a Ltd Co.). Barclays have helped some -- but it is a hit and miss procedure. The computer will say "no" but a good branch manager might override it.

Do you need all the hassle of a Ltd Co for your freelancing ?

The freelancing is in the form of a service, in this case - training.
Professional indemnity insurance is obviously a necessity, and being the 'over thinker' that I am - just considered that a Limited Company would be a better option than a sole trader ?

It's funny, I thought that I had considered all the pros and con's, options and pitfalls - didn't give a business bank account a thought !

P.S. Thanks for the reply [:)]

Hi Ben,

I agree with Foggy that you may well find it difficult to open a new business bank account.

PI should cover you whether you are a sole trader or a limited co.

Protocol complaint IVAs state that you would need to contribute 50% (net profit) of any additional income you earn. The other 50% is for you to keep, not your IP.

Kind regards.