Ways of finding out you have a Ltd Company

pjapk

I'm in the position where I've been "benched" in my current job for over 6 months and the company only recently agreed that it looks like they're going to have to make me redundant.

Having sat at home all this time (but not earning enough to be able to do anything much with the time) I'm keen to get back on the treadmill and have intended for a while to go (IT) contracting.

I have actually had an offer of a contract for the last 2 months (believing that redundancy would be sorted "imminently") but, with still no sign of final redundancy proceedings (or of alternative deployment) time is fast running out on this offer and I might need to act soon to retain it.

As with most folks I have a clause in my contract saying that I shouldn't have any other job interests etc. but if I don't try to do something I *WILL* lose this contract (which is offering me 3x current salary levels so easily out-weighing loss in benefits such as holiday etc.).

My intention has always been to use my redundancy as a "warchest" to protect me in slack contracting times so I really can't afford to walk away from it, even for such good-sounding money.

So, I'm wondering how my current employer might find out about any other interests I have? I know they can obviously do searches on Companies House, but surely they'd need to be specifically looking for such things rather than finding them by chance?

The company offering the contract is so keen to have me on board they have even offered me a contract whereby I wouldn't invoice them until end March where I'd deliver my end, assuming that current company can sort things out by then?

I really would rather do things above board but I can't believe how long current mob are taking to do things with no end date in sight right now. I'm not doing this to "fiddle" them but can't see what else I can do without losing the current offer.

Contract would be similar work to what I do - when I'm actually working! - for current employer so can't simply ask them if it's ok as it's not a completely different market.

Any suggestions?

Notmyrealname

It is relatively easy to find out the names of company directors, secretaries and other officers of a Ltd company.

You could always set up as a sole trader and only HMRC and DWP need know.

But if there's a clause in your contract about not doing certain type of work within a certain distance and/or approaching their customers and they find you've breached it, they can sue you regardless of whether or not you still work for them.

pjapk

Thanks. I'm aware that searches can reveal such things but would presume that you'd only do such searches when you have reason to?

The contract clause is simply a standard one stating that, basically, I'm not allowed to have another job whilst working with the company, there's no clause about doing similar work etc. once I've left, there's nothing stopping me working with/for anyone but afterwards isn't really the problem...

getmore4less

Whats the package likely to be.

are you on reduced pay for some reason when you say not enough.

LittleVoice

pjapk wrote: »

I really would rather do things above board but I can't believe how long current mob are taking to do things with no end date in sight right now. I'm not doing this to "fiddle" them but can't see what else I can do without losing the current offer.

Well you are really trying to "fiddle them" because you have another job which you want to start and where you should really resign in order to take it up and then they wouldn't have to pay you any redundancy payment.

However -

Being a director of a company does not mean you are an employee of that company. Unless there is something which said you could not hold a directorate, even if they found you were a director that wouldn't prove you had been doing work.

pjapk

By "Not enough" I meant I'm not earning the overtime etc. that I used to so have had little or no disposable income during this time.

LittleVoice: I have 14 years impeccable service with this company and believe I deserve the redundancy package I'm entitled to (statutory + 30 weeks salary) - the only reason I have another position available to me now is because I've ensured that it's the case, which isn't something I should be "penalised" for.

If I thought it'd do me any good I'd even save them paying my (3 months) notice if I thought it'd process things any quicker but I'm afraid that if I did, they'd guess that I had another job to go to and drag things even further forcing me to resign rather than be made redundant.

InsideInsurance

You will need to check with the agent etc for the proposed contacting role. Due to HMRC threats most will not accept a sole trader and therefore you are reduced to consider either a Ltd or going via an umbrella company.

As a director your details will be held with Companies House and therefore you can be looked up. The ex used to work in counter fraud and they certainly had tools that they could enter the directors name and find any companies with them listed in their particulars. Obviously you imagine the chances of this are fairly slim of them doing it.

If you went via an umbrella you are simply an employee of the umbrella company and so this is invisible to your current employer. You do get less takehome pay with umbrellas though.

Which ever route you take the bigger threat to being discovered is that your new client may well want to take references (though it is surprisingly uncommon in contracting) which is what would give the game away

pjapk

It seems the client is actually fine with Sole trader (I'm not going through an agent) and meeting with accountant today suggests that there is up to 3 months leeway for registering as self-employed so means I can be "off the radar" for a few weeks at least.

In the meantime I had an email from HR saying they're looking to set up a meeting with me next week so /hopefully/ this'll be the finalisation of things which I'd MUCH rather happen!

InsideInsurance

I would double check, I am fairly certain I heard that the 3 month grace period had been or was about to be scrapped.

Even if you were to register as self employed today your employer wouldnt be able to know (excl re references as above). The only thing could happen (and it normally takes a long time if it happens at all) is your tax code could change but your employer would just be given a new code without explanation and the code wont indicate the reason - there is a number of reasons why codes can change.

pjapk

Thanks for the info. As of meeting with an accountant yesterday, the 3 months thing is still relevant, but in the meantime I've been invited to a meeting monday morning with current employer HR & line-manager so hopefully things are drawing to a close there anyway. Fingers crossed!

Mistral001

You are obviously of the opinion that the employer is looking for any chance for you to to break your contract during thsi 6 month layoff thus that will let them off the hook with regard to paying you a substantial redunancy payment which could be in the tens of thousands.

That might be the case or not. But considering it to be the case, perhaps you should contact an employment law expert. There may be other ways that you could provide them with a loopholes.