We’re Recruiting – Financial Controller

Goodwille provide essential business services to overseas companies looking to enter, grow or scale in the UK. These services include Corporate Legal, Finance, Human Resources, Payroll & Virtual Offices.

We are currently looking for an aspiring finance professional to join our Finance team as a Financial Controller. As part of the Finance team at Goodwille, your job is to support our large client base of international clients, mainly from the Nordics and central Europe, with their UK Finances.

About the Role

  • your own portfolio of international clients
  • day-to-day financial control support to your clients
  • producing weekly, monthly, quarterly and yearly reports on behalf of your clients
  • control over cash flow, preparation of accounts for audits, assist accountants with year-end work, and compile VAT returns
  • some task supervision, but this is a hands-on role with you being responsible for maintaining quality standards

Core Competencies

  • Extensive experience of UK bookkeeping, management accounting, reporting and financial administration
  • Very strong client service ethic
  • Ability to balance corporate goals with employee relations
  • Results orientated
  • Self-motivated and able to work independently on own initiative
  • Accurate with high attention to detail
  • Sound interpersonal skills with an ability to establish collaborative relationships and influence at different levels of the organisation
  • Problem solver with the ability to implement practical solutions
  • Excellent communication skills
  • High level of integrity
  • Well structured
  • Flexible and open to change
  • Commercial acumen
  • Cultural awareness with experience of working cross-border

Reporting to the Head of Finance and primarily working with your colleagues in the Finance team, you will also find yourself liaising with all other departments, such as HR, Payroll and Corporate Legal departments on a regular basis, attending frequent team, company and client meetings.

Having a professionally recognised accountancy equalisation is desirable, as well as the kind of excellent communication and customer focus skills that will allow you to explain financial information to the team and, more importantly, your clients at all levels. An excellent working knowledge of accounting software and Microsoft office (particularly excel) are essential.

We are a strong and diverse team, so being sociable, engaging and communicative is important as we put a lot of emphasis on team and company culture. International or cross-border experience would be an advantage. An international language is not mandatory, although being able to speak an additional language would be beneficial.

In joining us, you will become part of a modern, forward-thinking and inclusive organisation, capable of offering a stimulating environment in which to accelerate your career in finance and accounting.

This is your chance to join #TeamGoodwille – check us out on Instagram. When you join Goodwille you get access to a whole range of employee benefits, all designed to ensure an enjoyable work/life balance. Some benefits for all employees include:

  • One month ‘work from anywhere’
  • Employee perks, rewards & benefits including discounts on supermarkets (Sainsburys, Tesco etc) high street stores (John Lewis etc) & gyms.
  • Access to a well-being & lifestyle platform, including eating advice, exercise routines and yoga videos
  • Generous social budget, for team lunches, parties or for you to hang out with colleagues.
  • Study Support options

Job type: Permanent, full time
Location: Warwick or London
Salary: Depending on experience/skill set

If you like the sound of this vacancy and all the features and benefits you get by being part of our team, then please contact dom.morris@goodwille.com
www.goodwille.com

EIS Schemes Explained

What is an EIS Scheme?

An Enterprise Investment Scheme (EIS Scheme) is designed to help UK companies raise money and grow. It was introduced in 1994 by the UK government and designed to help small and medium-sized companies (SMEs) raise funds to grow and to incentivise private investments in small and growing companies. Since its launch in 1994, over 33,000 companies have received a total of over £24 billion.

 

The benefits for an investor

The principal draw for investors is the opportunity to invest in the newest and most exciting businesses and benefit from tax relief:

  1. Tax relief of up to 30%, either against this year’s tax bill or a carryback from last year
  2. Ability to defer capital gains made elsewhere, by investing these in an EIS
  3. Tax-free growth– no Capital Gains Tax if your investment is successful
  4. Loss relief – losses from EIS investments can be offset against income or capital gains taxes if the investment does not work out
  5. Inheritance tax-free, as long as the EIS is held for at least two years, and you still hold it on your death.

 

What are the requirements for a company to qualify for the EIS scheme? 

EIS-qualifying companies can vary significantly across a wide range of industries and sectors. However, there are a number of different requirements to meet for a company to qualify for the UK tax relief scheme. The company and qualifying companies:

  • must have a permanent establishment in the UK and not be listed or plan to be listed on the stock exchange.
  • can receive investment under EIS as long as it is within seven years of your company’s first commercial sale.
  • cannot control other companies other than qualifying subsidiaries and or be controlled by another company (own more than 50% of a company’s shares or be owned by over 50% by another company).
  • needs to have long-term objectives and not expect to close in the near future.
  • have less than 250 full-time workers at the time the shares are issued
  • not have gross assets worth over £15 million prior to the shares being issued or worth more than £16 million directly after

To qualify for EIS, the UK company must not “be controlled by another company” and “not have more than 50% of its shares owned by another company”. With this in mind, a UK subsidiary of a foreign parent would not qualify for an EIS scheme. To find out more about how a foreign-owned company can utilise an EIS scheme to raise UK investment please contact us.

 

EIS: What can the raised money be used for?

The money raised should be used for qualifying business activities. Qualifying business activities include carrying out or preparing to carry out a qualifying trade (that must begin within two years of the investment) or R&D that will lead to a qualifying trade.

The money raised by the new share issue must be spent within two years of the investment or the date you started trading to grow or develop your business and should not be used to buy all or part of another company.

 

Companies not qualifying for EIS funding

EIS is designed to focus funding where needed most, so the types of businesses that qualify for EIS funding can change over time. The following types of companies are currently excluded from EIS funding:

  • Dealing in land, property development and leasing
  • Dealing in goods other than regular retail or wholesale distribution
  • Dealing in financial instruments, banking, insurance, hire purchase, money lending and other economic activities
  • Receipt of royalties or licence fees
  • Legal and accounting services
  • Farming and market gardening
  • Forestry
  • Operating or managing hotels or residential care homes
  • Coal production, steel production and shipbuilding
  • All energy generation activities

(Gov.co.uk, 2021)

 

What is the difference between EIS and SEIS Schemes?

In essence, EIS and SEIS have the same purpose: to facilitate investment into high-growth potential and serve as a finance booster to make it easier for many promising businesses to obtain growth funding.

SEIS is explicitly intended for start-ups and companies at an early stage, while EIS is suitable for “larger” and more “mature” companies – that are still relatively small and young in the context of the business landscape.

 

What is Advance Assurance and how is it connected to EIS?

HMRC introduced Advance Assurance since full SEIS and EIS qualifications cannot be granted until the investment has been made. The assurance further assures the investor that their investments are eligible based on their provided information.

Companies can receive a provisional confirmation from HMRC that they would qualify for the EIS scheme through the Advance Assurance. This allows potential investors to see whether your company may be eligible for the potential Enterprise Investment Scheme Tax Reliefs. The assurance, however, will not indicate whether the potential investor qualifies for the S(EIS) scheme.

 

EIS Scheme Claim Form – how to apply for Enterprise Investment Schemes?

If you are unsure if your company qualifies, reach out to our Governance team, who can match you with their expert partners, identify if you are eligible, and support you with the setup.

 

Are You Looking to Expand Your Business to the UK?

Understanding the benefits of different tax reliefs can be critical in whether an international expansion is successful or not. At Goodwille, we successfully help startups get established in the UK market with services such as, setting up a subsidiary or registering a branch, and offer advice and services to ensure that your business flourishes in the United Kingdom. For more information about how we can help you, get in touch with us today.

 

 

R&D Tax Credits Explained

What is an R&D tax relief scheme?

Research and development (R&D) tax credits are government incentives designed to reward UK companies that invest in innovation. The innovations can be, developing new products, processes or services; or enhancing existing ones.

By the end of 2020, over 82000 companies in the UK claimed over £7.4 billion from HMRC in tax relief for their R&D projects. These numbers are predicted to snowball over the coming years. The tax credit can come either as a cash payment and/or a corporation tax reduction and can be used to increase R&D development or hire staff to accelerate business growth.

Goodwille recently organised a webinar together with experts on the subject; GovGrant:

 

 

What is R&D for business, and which projects count?

Many people understand what R&D stands for, but it is essential to understand the definition of research and development for a business. Essentially, research and development are activities that result in the invention of new products, processes, or services or improvements to existing ones. In addition, these activities must further provide a sort of benefit to the industry, the customer or the company.

R&D relief is available only when the work is part of a specific project that advances science or technology. Therefore, it cannot be an advance within a social science – such as economics, or a theoretical field, such as mathematics. Additionally, the research project must be related to your company’s trade – it can either be an existing project or one you intend to start based on the research findings.

R&D projects often contain unknowns and uncertainties at their core, and the R&D aims to resolve them. This uncertainty forms a core aspect of the definition of R&D for tax purposes.

 

How does a company qualify for R&D?

There are different types of R&D relief, depending on the company’s size and whether the project has been subcontracted or not. In a nutshell, the company needs to be a UK Subsidiary, have a complete set of accounts for year one and have the time and money spent on R&D in the financial statements.

In addition, to get R&D relief, you need to explain how a project:

  • looked for an advance in science and technology
  • had to overcome uncertainty
  • tried to overcome this uncertainty
  • could not be easily worked out by a professional in the field
    (gov.uk)

 

Types of R&D relief Schemes

Small and medium-sized enterprises (SME) R&D Relief

This scheme allows companies to:

  • subtract an extra 130% of their qualifying costs from their yearly profit, as well as the standard 100% deduction, making a 230% reduction in total
  • claim a tax credit if the company is loss-making, worth up to 14.5% of the surrenderable loss

Which companies can claim SME R&D tax relief?

A company can claim this scheme if:

  • the company is classed as an SME
  • the company has less than 500 staff
  • the company has a turnover of under €100m or a balance sheet total of under €86m

Research and Development Expenditure Credit (RDEC)

This scheme replaced the “Large Company Scheme” and was introduced for large companies in April 2016. This scheme allows companies to get an RDEC rate of 13% of net Corporation Tax (worth 11p for every £1 spent)

Which companies can claim RDEC?

A company can claim this scheme if:

  • the company is classed as a large company
  • the company has more than 500 staff
  • the company have a turnover of more than €100 million and more than €86 million in gross assets

 

The benefits of R&D Tax Relief

R&D often leads to a new type of product or service, which in most cases generates new income. In addition, it can lead to improved internal processes, most often productivity strategies, with the overall aim to reduce marginal costs.

Further, companies can gain a competitive advantage by performing in ways their rivals cannot easily replicate. For instance, if R&D efforts lead to an improved business process, cutting marginal costs or increasing productivity.

 

What is the process of claiming R&D?

The process to claim R&D tax credits can be fairly complex, and those unfamiliar with the process could miss out on the full extent of tax reimbursements. Therefore, we recommend reaching out to us at Goodwille so we can introduce our trusted specialist partner GovGrant that can help maximise the claim on your behalf.

 

Expanding into the UK – all you need to know when starting a business in the UK

Thames and london

The UK is ranked as one of the best locations for businesses looking to expand internationally. Starting a business in the UK can be challenging, but with the right set of tools and knowledge, it’s a great place for business opportunities. The global environment, ease of doing business and strong market potential are of particular interest for overseas companies starting up in the UK.

When setting up a company in the UK, there are a number of registration requirements, regulations and obligations that need to be taken into account. This article highlights the most important things to consider when expanding your business into the UK.

  1. Legal Structures for Market Entry
  2. Set up and Registration
  3. Opening a Bank Account
  4. Understand UK Regulations
  5. UK Taxation
  6. Complying with UK Employment Law
  7. Expand to the UK With Goodwille
  8. Useful Contacts for Your Business

business men making choices

Legal Structures for Market Entry

When setting up in the UK, there are several legal structures to choose from. The company structure most suitable to you will depend on your type of business, where you are based and whether you have employees on board or not. Below are some of the most common legal structures in the UK;

  • Limited company
  • Branch office
  • Limited liability partnership (LLP)
  • Sole trader
  • Partnership

Limited Company/Subsidiary

Limited company (LTD) is the most common form of business entity in the UK. A LTD company is a separate legal entity, owned by shareholders and managed by directors. The profits of a limited company are liable for UK corporation tax. Setting up an LTD company in the UK is a well-recognised structure that is quick and cost-effective to complete. With share capital starting at just £1, and with the risk contained within the subsidiary company, this is often the preferred route for international businesses expanding into Great Britain.

Branch

An international company may consider registering a branch office in the UK, rather than a LTD company. A branch office is not a separate legal entity from the head office company and full responsibility for the operations, debts and liabilities of the UK branch lie on the overseas parent company.

To learn more about the best option for you when expanding to the UK, check out the differences between a UK branch and a subsidiary.

Set-up and registration

A company can typically be registered with Companies House in 48 hours once all documents are completed. A UK company must register for corporation tax with HMRC, within three months of starting to trade. The paperwork for registration is not too extensive, however, certain statutory documents will be required. Check out our comprehensive company registration services.

woman hand calculating expenses

Opening a Bank account

In order to make any transactions, you’ll need to open a UK bank account for your business. Opening a bank account is a time-consuming process as you will need to go through a money laundering process to ensure your company is credible for a corporate bank account. Therefore, prepare to have time and patience for this stage, it can easily take up to six months or more to complete.

Check if your bank in the company’s home country has any operations in the UK. In some cases, this might speed up the process, as it may prove some creditworthiness for the business.

regulations represented with wooden blocks

Understand UK Regulations

The regulatory system in the UK is open and transparent, making it easy to do business. In general, the UK aims to minimise bureaucracy and deregulate marketplaces in order to allow companies to develop and expand. However, there are strict regulations e.g. with regards to employment, industrial emissions, pollution monitoring and control, and waste disposal. Make sure you are aware of the regulations that directly or indirectly affect your business!

All businesses operating in the UK are subject to UK law, and every company registered in the UK must have a registered address in the UK. By law, all UK companies must file their annual accounts with Companies House within nine months of the end of an accounting period. Additionally, a confirmation statement must be filed with Companies House every 12 months (within 28 days of the anniversary of incorporation).

To get all the details in order and prepare for the regulatory areas, you should look for specialist advice. Our Corporate Governance Services can help you comply with any regulations or business’ obligations in the UK.

UK Taxation

Foreign businesses looking at overseas business opportunities in the UK will find a competitive and business-friendly tax regime. Companies need to consider their exposure to UK taxation, including corporate income tax, value-added tax (VAT) and employment taxes.

Companies may become subject to UK taxation in a number of ways, such as

  • Establishing a formal taxable presence in the UK, such as a branch or Ltd company, and making a profit.
  • Registering a company for VAT in the UK. Companies must be registered for VAT if their taxable turnover for any 12 months period is £85,000 or over. The current standard VAT rate in the UK is 20%.

It’s important to remember that an international business operating in the UK do not necessarily create a taxable presence in the UK. In order to be subject to UK corporation income taxation, an overseas business needs to be trading in the UK through a permanent establishment. Check out our comprehensive outsourced financial services and to find out more about when you may need to register an entity in the UK, please contact us.

department for work and pensions

Complying With UK Employment Law

When employing people in the UK, you need to be aware of several regulations within UK employment law. To start with, make sure your employees have the right to work in the UK (that they hold a valid UK/EU passport or work permit/visa) and a NIN (National Insurance Number) for the deduction of taxes. Also, remember to follow the guidelines for UK employment contracts and provide these within 8 weeks of starting the employment.

In addition, you need to register you employees into a PAYE scheme (Pay-As-You-Earn: social costs of employment including income tax and National Insurance) and organise relevant company insurances. Every employer in the UK must also enrol their employees into the workplace’s pension scheme within three months after the start of the employment.

In terms of the remuneration, you must ensure the employees are paid at least the National Minimum Wage in the UK. As the recruitment market in the UK is highly competitive, also make sure your remuneration package is attractive enough and fits into the scope of the role.

If you are recruiting in the UK, you may want to turn to specialists who can help you with all the employer regulations and responsibilities you need to consider in the UK. Goodwille’s HR Department deals with these issues daily and are happy to help if you have any questions regarding UK employment.

uk flag over london

Expand to the UK With Goodwille

The UK market provides great opportunities for expanding your business, however, starting up a business in the UK is a challenging process full of regulations. In order to get the set-up processes and ongoing compliance right, it’s good to turn to professionals who are able to provide you with advice and all the necessary help you need to get your business operations up and running correctly from the start.

If you are a foreign-owned business looking to expand into the UK, either through setting up a UK subsidiary or employing staff in the UK, Goodwille can help you to get the inside track. We have helped businesses expand into the UK for 20 years, and are experienced in Corporate Governance, Finance, HR, Payroll and Virtual Office services in the UK. With a track record of supporting almost 2,000 businesses, we have extensive experience to help you grow your business. Get in touch with us today, if you are planning to expand to the UK or have any questions regarding the UK market.


Useful contacts for your business

When expanding your business to the UK, there are many organisations you may find useful.

Networking-wise, it’s good to get know your local chamber of commerce and see if their network is worth accessing. For example, Finnish-British Chamber of Commerce and Swedish Chamber of Commerce provide good opportunities for professional networking.

Also, when developing your strategy for the new market, Department of International Trade (DIT) provides free advisory and supports companies with their UK strategy and planning.

New job openings in our Finance team

Goodwille provide essential business services to overseas companies looking to enter, grow or scale in the UK. These services include Corporate Legal, Finance, Human Resources, Payroll & Virtual Offices.

We have currently new job openings in our Finance team. In addition to seeking Financial Controllers for both our Warwick and London office, we are looking for a Senior Financial Controller who will guide and supervise a small Finance team. Senior Financial Controller will be based in Warwick.

As a Financial Controller at Goodwille, your job is to support our large client base of international clients, mainly from the Nordics and central Europe, with their UK Finances.

In your role, you will be responsible for:
• your own portfolio of international clients
• building and maintaining strong client relationships
• day-to-day financial control support to your clients
• producing weekly, monthly, quarterly and yearly reports on behalf of your clients
• control over cash flow, preparation of accounts for audits, assist accountants with year-end work, and compile VAT returns and EC Sales Lists
• some task supervision, but this is a hands-on role with you being responsible for maintaining quality standards

Besides working closely with your colleagues in the Finance team, you will also find yourself liaising with all other departments, such as HR, Payroll and Corporate Legal departments on a regular basis, attending frequent team, company and client meetings.

Having, or studying towards, a professionally recognised accountancy qualification is desirable, as well as the kind of excellent communication and customer focus skills that will allow you to explain financial information to the team and, more importantly, your clients at all levels. An excellent working knowledge of accounting software and Microsoft office (particularly excel) are essential.

We are a strong and diverse team, so being sociable, engaging and communicative is important as we put a lot of emphasis on team and company culture. International or cross-border experience would be an advantage. An international language is not mandatory, although being able to speak an additional language would be beneficial.

In joining us, you will become part of a modern, forward-thinking and inclusive organisation, capable of offering a stimulating environment in which to accelerate your career in finance and accounting.

This is your chance to join #TeamGoodwille – check us out on Instagram. When you join Goodwille you get access to a whole range of employee benefits, all designed to ensure an enjoyable work/life balance. Some benefits for all employees include:
• Office fruit every week
• Employee perks, rewards & benefits including discounts on supermarkets (Sainsbury’s, Tesco etc.) high street stores (Topshop, John Lewis etc.) & gyms
• Office massages twice yearly
• Complimentary phone insurance, as we know how important it is to stay connected
• Access to a well-being & lifestyle platform, including eating advice, exercise routines and yoga videos
• Generous social budget for team lunches, parties and for you to hang out with colleagues.

Job type: Permanent, full time
Location: London / Warwick
Salary: Depending on experience/skill set

If you like the sound of this vacancy and all the features and benefits you get by being part of our team, then please contact kevin.rutter@goodwille.com.

We’re recruiting – Financial Assistant

Goodwille provide essential business services to overseas companies looking to enter, grow or scale in the UK. These services include Corporate Legal, Finance, Human Resources, Payroll & Virtual Offices.

We are currently looking for a Financial Assistant to join our Finance team in London. As a Financial Assistant at Goodwille, you will work along the Financial Controllers to support our large client base of international clients, mainly from the Nordics and central Europe, with their day-to-day UK Finances, as well as ensuring efficient and effective processes within the Finance team.

You will be responsible for:

  • Posting purchase invoices onto systems (various software)
  • Checking supplier statements and request copy invoices
  • Reconcile accounts payable to the creditor’s control account in general ledger and the accounts receivable to the debtor’s control account
  • Updating accounts payable with new suppliers
  • Raising & posting sales invoices
  • Updating sales ledgers with new customers
  • Various reconciliations of general ledger accounts
  • Checking expenses, credit card and petty cash and ensuring correct authorisation
  • Reconciling payroll and pension accounts
  • Supporting the Payroll Manager with processing of client payrolls
  • Working with and updating Goodwille’s Standard Operating Procedures
  • Setting up payments within agreed routines and across various banks

To excel in this role, you should be a team player with great attention to detail. Being organised, motivated by working towards deadlines and proactive in reaching out to clients with an excellent client service manner is essential. We are a small but strong and diverse team, so being sociable, engaging and communicative is important as we put a lot of emphasis on team and company culture.

The ideal candidate should have at least 6 months experience from a similar role, but we are happy to train anyone with the right attitude and aspirations. We believe that you are interested in pursuing a career in finance, and will support training for an AAT qualification. International or cross-border experience would be an advantage, as many of our clients are based outside the UK.

In joining us, you will become part of a modern, forward-thinking and inclusive organisation, capable of offering a stimulating environment in which to accelerate your career in finance and accounting.

This is your chance to join #TeamGoodwille – check us out on Instagram. When you join Goodwille you get access to a whole range of employee benefits, all designed to ensure an enjoyable work/life balance. Some benefits for all employees include:

  • Office fruit every week
  • Employee perks, rewards & benefits including discounts on supermarkets (Sainsbury’s, Tesco etc.) high street stores (Topshop, John Lewis etc.) & gyms
  • Office massages twice yearly
  • Complimentary phone insurance, as we know how important it is to stay connected
  • Access to the well-being & lifestyle platform, including eating advice, exercise routines and yoga videos
  • Generous social budget, for team lunches, parties and for you to hang out with colleagues

Job type: Permanent, full time
Location: Kensington, West London
Salary: Depending on experience/skill set

If you like the sound of this vacancy and all the features and benefits you get by being part of a team like Goodwille, then please contact kevin.rutter@goodwille.com.
www.goodwille.com

Making Tax Digital

Making Tax Digital (MTD) came into effect on 1st April 2019. MTD is part of the UK Government’s recent efforts to ensure companies and individuals keep on top of their contributions. The introduction of MTD means that all VAT registered businesses (with taxable turnover above the current threshold, currently £85,000) from now on are required to use an HMRC approved software to keep their tax records digitally. This affects all businesses that trade in the UK, including international organisations that may process accounts within their home countries.

Companies operating from nations such as Sweden, Finland or Norway, but trading within the UK need to follow the UK Government’s guidelines closely to ensure they comply to avoid any penalties. The best way to achieve that is to outsource the book-keeping process to experts like us at Goodwille.

Goodwille specialises in helping non-UK businesses to expand into the local market. Their team can assist with many or all back-office tasks to ensure entrepreneurs and business owners are free to focus on the more important elements of their expansions. For more than 20 years, Goodwille has helped hundreds of international businesses open UK offices, launch UK subsidiaries, and deal with their ongoing compliance.

Key Points:

  1. Record keeping – International and homegrown businesses can no longer keep manual financial records for VAT. Starting from 1st April 2019, companies must use a compliant approved accounting system that connects to HMRC through an API.
  2. VAT submissions – While returns must be submitted to HMRC via approved digital software, there is going to be a soft landing period during the first 12-months, during which companies can still copy and paste data between software. However, this will change on 1st April 2020.
  3. Brexit – Making Tax Digital for VAT comes into force at the same time the UK plans to leave the EU. There are concerns that businesses dealing with VAT transactions between the UK and EU will become affected, and so it is vital that all companies keep on top of their understanding of any changes brought into force to ensure their systems comply. The best way of doing that is to outsource.

Outsourcing:

It is expected that most businesses will need to keep their corporation tax records digitally using specialist approved software by 2020. This means that now is the best time to put an outsourcing solution in place to ensure a smooth transition.

The aim of Making Tax Digital is to bring the tax system into the modern age and help businesses to save time and money. However, organisations based outside the UK could encounter the opposite outcome if they don’t remain ahead of the game and select an outsourcing partner like Goodwille as soon as possible.

For more information about the many ways in which specialists like those at Goodwille can remove some of the strain from the situation and ensure your business can thrive in the new Making Tax Digital landscape, visit www.goodwille.com today. Companies that fail to comply with MTD requirements could face fines or worse in the UK, hence it’s vital not to delay this move.

Outsourcing presents the opportunity for businesses to remain focused on their growth and expansion goals rather than watching alterations to the tax system. So, take the first step today!

LAUNCH IN LONDON | Speaker introduction: Alexander Goodwille – Goodwille

London is a great place to be for tech businesses – it has access to great pool of talent, capital and investors, it boosts a large tech community and it’s perfectly located in the middle of time zones. With all these possibilities available – how can businesses and entrepreneurs utilise these to the best extent possible, and what else is needed to succeed?

On 14 June, Goodwille are hosting the event Launch in London as part of London Tech Week. The event targets startups, tech businesses and entrepreneurs with aspirations to launch in London, and will provide insights and expert advice on everything you need to succeed with your tech business in London.

One of the speakers at the event is our very own CEO Alexander Goodwille. If you read our blog on a regular basis, you might already be familiar with Alexander and what we do at Goodwille, but reading the introduction below we’re sure you’ll learn something new about Alexander, the Goodwille family business and why we are hosting Launch in London during London Tech Week!

During Launch in London, Alexander will speak about:

With over twenty years (twenty one to be exact!) experience helping companies expand in the UK, Goodwille have seen many businesses succeed, and also some businesses struggle with their UK operations. Alexander will share his best tips, and the pitfalls to avoid when starting up your business in London. He will provide common mistakes that he has seen over the years and give examples of unpleasant situations you might end up in if you haven’t done your homework!

About Goodwille and why we host Launch in London during London Tech Week 2018

Goodwille help businesses succeed with their UK operation. Founded by Swedish business woman Annika Åman-Goodwille, Goodwille take care of the administration and practical issues associated with running a business in the UK, so businesses can focus on clients and growing their business! Covering five integrated department, including Corporate Legal and Compliance, Finance, People Management and HR, Payroll, and Virtual Office and Meeting Rooms, we provide a solid foundation for you to grow your business.

At Goodwille, we think that startups and entrepreneurs should focus their efforts on value creation instead of admin and trying to learn the systems and requirements to run a UK business, and Tech is one of the most represented industries in our client-base. We want to provide startups, entrepreneurs and tech businesses with not only the administrative support they need to succeed in the UK, but also to give them valuable advice on how to interact with British clients and colleagues, how to make a name of yourself on London’s big tech scene, and also where and how to look for help to maximise your potential. We hope that Launch in London will provide just this to growing businesses, British or foreign, that wish to conquer London in 2018.

About Alexander

Alexander is the Computer Engineer that after 10 years in Investment Banking in March 2017 stepped up as CEO for the family business that his mother had founded 20 years earlier. He has a deep passion for all things tech and entrepreneurial, and he loves seeing people grow and succeed. Growing up in the UK with a Swedish mother and Scottish father and having seen the Goodwille business grow from the first client to nearly 2,000 companies helped to date, he has seen and experienced several culture clashes between cultures that are seemingly similar, but maybe more importantly – he has seen many foreign companies succeed in the UK.

LAUNCH IN LONDON – EVENTS DETAILS

Date: Thursday 14 June 2018
Time: 10am-1pm
Location: Level39, One Canada Square, Canary Wharf, London E14 5AB
Tickets: This event is fully booked, email hello@goodwille.com to be put on the waiting list

4 important steps for setting up a business in the UK

The UK is an exciting location for foreign businesses looking to expand internationally, as it is full of opportunities and business potential. It is however important to be aware of the many rules, obligations and regulations that come with setting up a business in a new marketplace. This article will provide you with an overview of four things to consider when setting up a new business in the UK.

Step 1 – Type of trading entity

One of the first things you must decide when starting a business in the UK is which legal business structure to choose. Below are the main routes into the UK market, and depending on the type of business and your intentions for UK market, different setups will be suitable. In finding the best route to market for your business, it is a good idea to look at the legal differences between the structures as well as any tax or other implications. You may wish to seek specialist advice on the differences between these types of entities, the up and down sides of them, and which entity that suits your business and you intentions of the UK market.

  • Limited company (private or public)
  • Branch office
  • Partnership
  • Sole trader
  • Distributor or agent

You can register your company online, but it is important to make sure you get all the bits and pieces right, and that you are aware of any reporting and filing requirements for the business. If you are unfamiliar with UK business, Companies House and statutory filings, we strongly recommend you seek professional advice and help. Goodwille’s Corporate Legal Department deal with these issues daily, and can advice and support you when setting up the business.

Step 2 – Bank account

In order to make any transactions, you will need to open a UK bank account for your business. Opening a bank account is a lengthy process as banks are required to go through long money laundering requirements to open a corporate bank account, so ensure that you allow time and patience for this. If you have a bank account for your business in your home country, check with your bank to see if they have operations in the UK which in some cases can speed up the process, as it proves some degree of creditworthiness for the business.

If the bank account opening process proves to be longer than anticipated and you need to urgently make transactions, Goodwille can provide a client account that you can temporarily use for transactions while you wait for your account to be opened. Get in touch with our Finance Department for more information.

Step 3 – VAT or not

You may also look to register your company for value-added tax, VAT in the UK. Companies must be registered for VAT if their taxable turnover for any 12 months period is £85,000 or over. The £85,000 threshold has been agreed to remain for at least two years from 1 April 2018.

The current standard VAT rate in the UK is 20%, which is the rate most businesses will charge. Some goods and services are reduced to a 5% rate and some are exempt from VAT so make sure you know which rates that applies to your business!

Step 4 – Employment

Now that the company, bank account and VAT is sorted, you need to employ people to get the money rolling and the business moving forward. When employing people in the UK for the first time, there are several things you need to bear in mind – whether you are bringing employees from your foreign company or employing in the UK.

  • One basic thing that people may take for granted but that shouldn’t be neglected is that you need to make sure that people you employ are eligible to work in the UK. Make sure they have a UK or EU passport, or that they have a work permit/visa!
  • All workers are covered by the law of the jurisdiction in which they work, meaning that your UK employees will be subject to UK employment law. This means it’s important to make sure that your employment contracts are based on and compliant with UK employment law. The contracts should cover and set out the employee’s duties, responsibilities, rights and employment conditions.
  • You need to register your employees for PAYE (Pay-As-You-Earn, social costs of employment including income tax and National Insurance that you as an employer needs to pay to HMRC) and organise with necessary company insurances.
  • Make sure you offer your employees a pay that is at least National Minimum Wage, and that you offer sufficient benefits to their responsibilities and scope of work. There are benchmarks for salary levels and benefits depending on industry, experience etc. that can be good to use as guidelines to make sure your remuneration package is attractive and reasonable and that you don’t offer “too much” or “too little”.
  • There is a requirement to enrol your employees on a workplace pension scheme. This is called auto-enrolment and as an employer, you must automatically enrol all your employees on a pension scheme three (3) months after the start of their employment. Employees must actively opt-out of the pension scheme if they don’t wish to receive a workplace pension.

We offer HR advice and hands-on support and can help you sort everything employee-related – from employment contracts to benefits, pension and payroll. Get in touch with our HR Department if you have any questions.

In summary

All these things might seem straight forward when outlined here, but the truth is – it’s not always as easy as it seems. There are rules, laws and regulations you need to be aware of and make sure you follow to avoid a hefty fine, or even worse – being taken to court.

Goodwille have 20 years of experience helping foreign businesses in the UK, and can support you with everything you need to get your business started. With a track record of helping nearly 2,000 businesses in the UK, we have all the experience and resources you need to succeed with your expansion.

Get in touch with us today if you have any questions about doing business in the UK or if you want more information on the support we can provide to your business.

Setting up a UK company: How many shares should the company issue?

Setting up a private company limited by shares is one of the most common ways to start a business or expand a business into the UK. However, the law relating to shares in the UK and share capital can be complicated, so it is important to understand your options when it comes to initial share issue. The right number of shares initially issued to shareholders will depend on your specific circumstances, and this post looks at some of the main things you may wish to consider when deciding how many shares are right for your circumstances.

What is the purpose of initial share issue?

The purpose of issuing shares at the beginning of the company, is to raise capital. For example, if three people wish to start a company, investing £10,000 each at the outset, the simplest way for this to be represented is for the company to issue £30,000 shares at £1 each. However, this is not the only method of raising money for the company.

Alternatively, the company may issue only 3 shares at £1 each, and the company founders can lend the £10,000 each to the company. Under each of these circumstances, each shareholder owns one third of the company, and they will have the same voting rights and powers within the company. For many businesses, both methods are suitable. But, there are certain legal, practical and taxation issues which may make one method preferable over the other.

When the £30,000 is locked into the company as share capital, it is more difficult to get this money back out of the company in comparison to when the company is given a loan. Where a company is loaned the money from the shareholders, the money may be repaid at any time. Furthermore, if the company becomes insolvent, the shareholders may claim the money lent as creditors in any insolvency proceedings. However, share capital is important when the company is seeking finance from lenders, investors and other business contacts. In particular, banks wish to see that share capital is ‘locked in’ to the company, and that it has substance.

There are many things to consider in relation to share issue when setting up a UK company. To get it right and make sure you do the best for the specific circumstances of your company, get in touch with our experts today for advice.