Setting Up A UK Based Company

BlackEdelweiss

Can I set up a company registered in the UK and trade in Ireland and the UK? It would be a consultancy business, providing advice only, no physical goods for sale. The insurance requirements in Ireland at the minute are making it impossible to get started but I have a company who would like to hire me on a sub contract basis providing advice on projects in the UK and Ireland.

Scotty #

BlackEdelweiss wrote: »

The insurance requirements in Ireland at the minute are making it impossible to get started...

What insurance requirements?

CelticRambler

Have you checked whether a UK-based company is allowed provide the service in Ireland under post-Brexit rules? And if so, are their any additional reporting and/or registration requirements, VAT implications or other costs?

BlackEdelweiss

Scotty # wrote: »

What insurance requirements?

PI insurance.

Scotty #

BlackEdelweiss wrote: »

PI insurance.

PL Insurance is an option, not a requirement.

I would have thought a consultancy providing "advice only" would not opt for PL Insurance and if they did it would be very low?

westgolf

Scotty # wrote: »

PL Insurance is an option, not a requirement.

I would have thought a consultancy providing "advice only" would not opt for PL Insurance and if they did it would be very low?

PL = Public Liability
PI = Professional Indemnity

Significant difference between the two.

Scotty #

Ahh, indeed. Still not actually a requirement though (but may be strongly advised!).

caesar

I went through this rigmarole a while back when registering a company. And know the insurance side of things (experience in the sector). Happy to give an expansive answer, but I will say this for now.

1. From what I remember, you are pretty much free to register a company wherever. That's not necessarily the same as where you pay tax. You personally and the company.
   
2. Letting tax alone or insurance (in this case) drive your decision on where to register is something I'd be wary of.
   
3. On the insurance front specifically. If your primary reason for looking at registering in the UK is insurance reasons, then that may not be that straightforward. Assuming you will personally be resident in Ireland and the sole director, insurers in the UK might not cover a business with only a non-resident director. Pre Brexit, they may have under EU residency, but now, not so sure. If you had another director in the UK, then you could work it that way—perhaps.

The default answer when it comes to these things as a company of one is the country you are personally resident in. Departing from that needs solid reasons or at least understanding the trade-offs.

As there are a lot of angels and aspects to this decision it's hard for anyone to say whether the UK route would be desirable for you. Context is king here.

For now, I'll avoid the rabbit hole of whether it's generally "better" to register and trade from the UK v Ireland with this sort of business. What's the insurance issue in Ireland exactly, is it cost or cover related? (The PI market here is a bit screwed, it seems, but consultancy is normally straightforward but depends on what exactly you are advising on!)

Darc19

Join a representative group in your area of expertise (eg restaurants are part of Restaurants association of Ireland, many retailers are part of retail excellence). You will find their expertise is invaluable and they will steer you to the people who can answer your queries easily, or give a reasonable quote for PI insurance

BlackEdelweiss

Scotty # wrote: »

Ahh, indeed. Still not actually a requirement though (but may be strongly advised!).

It is a requirement if clients require you to have it. It is generally written into contracts in my industry.