June 2010 Page 39

One of the most irritating
aspects of building a business
is that so much fi nds its way
into the Revenue's coffers.

Business owners have to make sacrifi ces to
start their businesses and tend to feel that
when they are eventually profi table they are
penalised for their success.

It is also increasingly diffi cult to justify
employing new staff as costs and legislation
tie up businesses in red tape.

A little known way of circumventing the
current taxation of growing businesses is
establishing itself; and its use is gathering
pace.

Nigel Adams of Ad Valorem says that "If
you have a growing business with a new
income stream or new area of business then
you have a great opportunity to save up to
hundreds of thousands of pounds, or more."

The crucial thing is that you are about to
expand your business by introducing a new
product, service, customer type, technology
or location.

When you are about to introduce any of
these elements, then it is time to take action.

These are the steps you need to
take to save up to £400,000 plus:

Identify all income streams, current and
new.

Identify all assets, ownership and profi t
expectations

Identify key personnel

Create budgets and cash fl ow forecasts

Set up an LLP alongside your existing
business entity

Restructure your business

Get the right accountant,
they need to be;

A little known way of
circumventing the current
taxation of growing
businesses is establishing
itself; and its use is
gathering pace.

So what's an LLP?

An LLP is a Limited Liability Partnership. Its
partners have protection akin to that of the
shareholders of a limited company. The
partners however are taxed as individuals
as with a traditional partnership. For many
businesses it's the best of both worlds.

Nigel Adams
says "this is a
really exciting and
rewarding aspect
of our business.
We use our LLP
expertise to help our
business clients make
signifi cant savings.

We guide our clients through the steps and
write a substantial report showing exactly
how it is going to deliver. We then put
everything in place to make it happen."

If you are growing or diversifying your
business and you would like to know if
this could work for you, then contact Ad
Valorem's Client Services Manager,
Kirsty Parris on:

Expanding Businesses --
A Need to Know Worth £1000'S

Registered Offi ce: 2/3 Bassett Court, Broad Street, Newport Pagnell, Bucks MK16 0JN

Branch Offi ce: 18a High Street, Olney, Bucks, MK46 4BB

Ad Valorem,

a family run fi rm

with big practice expertise

Discover how to
save £1000's

If you are about to expand or diversify your
business call now for a FREE initial review

Become an Ad Valorem client and get
the LLP formation worth £400 FREE

T: 01908 219100 E: kirsty.parris@adval-accounts.com
www.adval-accounts.com

ACCOUNTS AUDIT BUSINESS GROWTH TAXATION BOOK KEEPING

T: 01908 219100

E: kirsty.parris@adval-accounts.com

Phonebox Magazine 39