When do I need a Limited Company?

It's difficult to know what the right time is to set up a Limited Company but we'll walk through when you may want to consider a Limited Company vs a sole trader or umbrella company.

By Chris Andreou

Updated:

February 2, 2024

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When do I need a Limited Company? guide
When do I need a Limited Company? guide

When to set up a Limited Company

There is no clear cut time as to when you should start working through your own limited company. With other routes available—such as operating as a sole trader, or working through an umbrella company—it is always worth weighing up what is best for you and your circumstances.

With that being said, if you plan to work as an independent contractor for the foreseeable future, opening your own limited company at the early stages can maximise your opportunities for reaping the benefits of having your own company straight away.

Read more Limited Company guides