Business Investment Idea

edited 30 November -1 at 1:00AM in Small Biz & Charities' MoneySaving
3 replies 896 views
Morus193Morus193 Forumite
15 Posts
edited 30 November -1 at 1:00AM in Small Biz & Charities' MoneySaving
Hi, I set up a Limited company 6 months ago and have built up some funds that I would like to purchase some assets for the company. My idea was to use the funds to buy shares in some FTSE100 companies, I have zero experience of doing such thing before within a limited company. I have done share trading personally. Am I correct in assuming its as straight forward as setting up a trading account with a broker and trade in the same way as personal trading then hand all contract notes to accountant? I guess this will incure some additional accountancy costs? I would really appreciate some advice or guidance as to how this works and maybe any additional costs involved that I have not thought of. Thanks a lot!

Replies

  • antrobusantrobus Forumite
    17.4K Posts
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    Morus193 wrote: »
    Hi, I set up a Limited company 6 months ago and have built up some funds that I would like to purchase some assets for the company. My idea was to use the funds to buy shares in some FTSE100 companies, I have zero experience of doing such thing before within a limited company. I have done share trading personally. Am I correct in assuming its as straight forward as setting up a trading account with a broker and trade in the same way as personal trading then hand all contract notes to accountant? I guess this will incure some additional accountancy costs? I would really appreciate some advice or guidance as to how this works and maybe any additional costs involved that I have not thought of. Thanks a lot!

    Not a good idea normally.

    Speak to your accountant before doing anything.
  • jonesMUFCforeverjonesMUFCforever Forumite
    28.9K Posts
    Part of the Furniture 10,000 Posts Name Dropper
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    I agree what was the purpose of setting up a limited company - was it to trade in shares as an investment company or for another reason?
  • jshm2jshm2 Forumite
    346 Posts
    Are you stock trading on your own or trading for others? It will lower your trading costs going as a company rather than individual but usually Quickbooks or Xero will do the job in keeping books. It does for the few people I know who day and swing trade for a living.

    That's the only real advantage to going Ltd as a trader
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