Contractor status question

ianmac101

I am a Director of three separate companies (one non-profit) and get paid by each of them, essentially on a project-by-project basis whenever I do work on project contracts. However, I should also mention that in the past I’ve taken dividends from two of those companies as well.

I also have about 50% ownership within each of these two companies.

On top of that, I also get paid for separate freelance (contract based) work, unrelated to my companies.

My question is - would I be able to set myself up as a contractor and create my own contractor ltd company that I channel my earnings through, given the various sources I get my earnings from?

I realize that with such an arrangement, some of the work I’d be passing onto that contractor company would be from companies I also hold directorships and shares in, so wanted to know if this would invalidate such an arrangement?

Thanks!

paddyrg

As long as you're acting in the best interests of the other companies you're a director in, then there shouldn't be a conflict. If, however, you're charging £100k for washing out a kettle, and so the other shareholders and directors were being fleeced, it could be argued that you're not acting properly as a director.