From when does it make sense to set up a limited company. To start I have to send you a disclaimer. I am not a tax advisor so what follows should not be taken as advice. It’s just how I would do it and am doing it. Who owns the money? One of the main arguments for not setting up a SL, which my tax advisors have already told me on several occasions. a negative comment on social media, a client who unsubscribes, etc.
Do the numbers
Do the numbers. In Germany, as the main partner of an SL you are not obliged to withdraw its profits. In Spain the situation is different. You have to see this with your tax advisor who can advise you on this aspect. In the end you have to do the numbers. On the one hand you have: Taxes on income email database you pay as a self-employed person. On the other hand you have with an SL. Corporate tax that you pay as an SL (25%). When I find myself in a similar situation I try to gain a new perspective.
If the second scenario generates more cash flow
If the second scenario generates more cash flow. An SL could make sense. You also have as an extra ball. The protection that this structure gives you. If you say that with the minimum you cannot cover living expenses. There are legal Phone Number UAE ways to withdraw money from the SL that are not payroll payments or similar. Check this with your advisor and they will tell you. They can give you an immense emotional breakdown. I find myself in a similar situation I try to gain a new perspective.