Dialect - Our Company

We have come up with the idea for a unique branding company which we have named DIALECT which refers to the regional nature of our business.

Our plan is for the business to be based on Networking and creating a connection between new and upcoming designers and larger companies seeking branding / re-branding and identity design work. 

This unique connection between new designers and companies will allow companies to have a fresh edge and perspective to their business. The combination of old / experienced designers (Sam, Chloe, Ben and Myself) and new designers (students and graduates) will provide a strong working team with fast and effective design solutions.

This company is going to be a Limited company because it means that

Limited Company Advantages

1. Tax – The main advantage of working via a private limited company is that you are likely to pay less personal tax than a sole trader. Company profits are subject to Corporation Tax at 20%. If you are the director and shareholder of a limited company, you may elect to take a small salary (and pay little or no PAYE or National Insurance Contributions) and take most of your income in the form of dividends.Dividends are taxed separately, and are not subject to NICs. As a sole trader, your entire income is subject to standard PAYE and NIC rules.

2. Distinct Entity – A limited company is a completely separate entity from its members, whereas a sole trader and his/her business is treated as a single entity for tax and administrative purposes. Everything from the company bank account, to ownership of assets and involvement in tenders and contracts is purely company business and separate from the interests of the company’s members.

3. Limited Liability – As the name suggests, if you run a limited company, you are protected in case things go wrong. Assuming no fraud has taken place, you will not be personally liable financially for any losses made by your limited company. This is not the case for sole traders, who are not protected from financial claims in the event that things go wrong with their businesses.

4. Professional – In some businesses and industries, working via a limited company can provide a professional image (in some industries it is a mandatory requirement if you want to seek business). If you are doing business with larger companies, you may find that they prefer to deal only with limited companies rather than sole traders or partnerships.

5. Funding – Limited Companies may find it relatively easier to secure business funding (although acquiring capital for all types of business structure has become progressively more difficult since the credit crunch).

6. Naming – Once you register your company with Companies House, your company name is protected by law. No-one else can use the same name as you, or anything deemed to be too similar.

7. Shareholders – A limited company can issue various classes of shares. This means you can easily sell stakes in the company, or transfer ownership of shares.

8. Costs – Many people prefer to operate as sole traders rather than limited companies as the start-up and running costs are perceived to be significantly lower. However, with company formation costing less than £100 (in some cases, much less), it has never been cheaper or easier to register a new company. You can register a company online via our formations partner, Duport.

9. Pensions – Rather than paying for a pension out of tax-free income, your company can fund its employees’ executive pensions as a legitimate business expense.

10. Succession – If a shareholder wishes to retire, sell his shareholding, or dies, it is far easier to transfer ownership of a limited company than a non-registered business structure.