So I'm a director
I've always been interested in making films - and honestly, my ultimate job would be a film director. Alas, no, this is not what this post is about.
I am now, officially, the director of Left Logic Ltd. The company formed on the 6th of September 2006.
This is an exciting period for me - but equally as frightening. We've (the Wife and I) got our new flat on the horizon, which means, obviously, a mortgage, and if my business does me well, I will finally leave the 'permanent job' nest...well - one day perhaps!
My next steps, aside from finding new clients (on the off chance - visit Left Logic and get in touch!) the next steps are:
- Find myself an accountant
- Open a business bank account (The Abbey are looking pretty attractive with their 'free for life' scheme)
- Register for corporation tax
I'm having a lot of trouble understanding VAT, or certainly what the point is, for businesses.
From what I understand so far is:
- I'm registered for VAT, so I charge you VAT on my services, let's say £1,000 of business.
- I pay the VAT man the VAT I took from you.
- I buy a product worth £1,000 + VAT.
- I claim the VAT from that product from the VAT man.
Doesn't this mean the money is just travelling in circles? One for the accountant me thinks!
Originally published on Remy Sharp's b:log