As an employee for most of my working life, I must say I’ve always had the upmost respect for anyone brave enough to set up in business and perhaps more importantly, take on the sizeable privilege that is offering and providing employment for staff. Fortunate enough to say that I am friends with a great deal of business owners and entrepreneurs and I have always sympathised with the significant responsibility and burden that they carry.
It’s one thing entirely setting up a business and then watching it flourish however, with success comes………. you guessed it – a visit from the Tax Man and the list goes on, taxation on dividends, income tax, national insurance, Value added Tax (VAT), Employer’s national insurance and of course Corporation Tax so before you even consider the running costs of a business – you get the picture – Mr & Mrs Company Director command a great deal of respect in my opinion.
As a Financial Adviser, I must say I have more often than not, greatly enjoyed the conversations with Directors because to be honest with you, I have always felt that there is a great deal in my “kit bag” to talk about such as: Business Protection – protecting the business, protecting the shareholders and protecting the shareholders families, discussing employee benefits and of course the business itself funding the long term retirement position of the Directors.
I’m staggered at the many businesses I speak to that are almost voluntarily paying corporation tax, unaware of both the Protection and Pension funding that can qualify as a viable business expense. This week alone Astute have arranged Life cover funded by the business (Relevant Life) and also significantly increased Pension funding all with the aim of improving long-term financial outcomes and reducing taxation.
As I said, I’ve always enjoyed my conversations with company Directors and best of luck not humming the kinks all day after reading this…….