Running two businesses advice please

Diwrnach

Hi there, currently running a small business on my own as a sole trader, and looking at setting up another and getting my wife to run the current business.

Could anyone advise me which way to go about this, would it work out better to pass the business to my wife and let her go self employed and run it entirely on its own, or would it be better for me to take her on as an employee to run the business for me?

Many thanks in advance.

paddyrg

Self employed, you're not talking about a limited company where the business has ownership, pays its own taxes etc so much as an extension of your personal finance. As such, whatever tax position is most effective for the two of you is probably the best bet, likely that'll be her running it.

Diwrnach

Thank's a lot for the reply, I figured that would be the case, but thought it best to ask others

Thank's again.