Self employed

[Thief]

https://publications.parliament.uk/p...rev.14-18.html


Just came across this on another forum, and looks like good news. Hopefully they’re going to fast track it


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[BroxburnHibee]

That is good news.

I get we will pay for it in the long run but needs must.

[Dalianwanda]

Fingers crossed for you that this happens. My sis is self employed ballet teacher & like so many mates, getting no support. Over here we’re allowed €206 per week for 6 weeks. I’ve a bit of work that should keep me going for a couple more months as i’d like to hold off before claiming it.

[Hibs4185]

I haves new business I started 8 weeks ago. It’s been heaving. Just took on 2 new members of staff and 2 new vans. Was about to hire a new premises when this happened.

Because we don’t have a premises as such, we don’t qualify for any of the grants. On top of that we have 2 jobs finishing on Friday that we now can’t get finished and paid for.

We will be alright and we will still pay the new staff their full wages but we are a Ltd company so it’s crap that grants are only available to those with premises.

[Global Hibby]

HIBS4185

Sorry to hear about your business.

The governments loan scheme for businesses is vague but here is some clarity regarding it as things stand today. A bank will look favourably on a business loan which is good news but the downside is that you will have to give personal guarantees. The bank would look to recover the liability from you before going to goverment, so it’s really not much help to most businesses. This is part of the reason why the markets didn’t bounce back when announced. It was hoped that we would be in a V, which means straight down and straight back up economically. It’s either going to be a U or an L and hope that makes sense.

In regard to employee subsidy, you can have 80% of their earnings covered to the £2500k. But for the sake of clarity the individuals you employ can not do “ any “ work for you or for any other company. Failure to do this is benefit fraud and many companies and people are not realising this and Self employed do not get any top up either at this stage.

i have been campaigning on IR35 and am currently campaigning for goverment to change the policy around business loans and employee assistance.

Good Luck and if I can help drop me a mail.

[EI255]

Some more fortunate higher earning self employed people can't even sell their school-run SUV's to help fund things.

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[Brightside]

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https://publications.parliament.uk/p...rev.14-18.html


Just came across this on another forum, and looks like good news. Hopefully they’re going to fast track it


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It will be means tested though. So if you have any savings or if there are any other earners in your house you will get nothing.

[BroxburnHibee]

It's an amendment so not sure if it will pass anyway

[Global Hibby]

how is that helpful to people who have no earnings ? If they have to sell assets to survive with no goverment support then that’s an awful situation as they can’t borrow money to grow their businesses. Self employed people pay taxes and don’t have the same rights as employees. They have much more risk than an employee and indeed many of those people provide jobs for people. Also if a self employed person is below the VAT threshold that many are they generate 20% tax when I use them in my businesses and I can’t offset the VAT. It’s going to be those self employed people who take risks that will regrow our economy and create more jobs to replace those lost. It won’t be the very large companies who do this as they are already reducing people with AI and Robotics. There are many Hibs fans on this forum who are self employed and they should not be excluded from support.

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Some more fortunate higher earning self employed people can't even sell their school-run SUV's to help fund things.

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[Global Hibby]

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It's an amendment so not sure if it will pass anyway

correct and it’s very difficult times for all.

[Ozyhibby]

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Some more fortunate higher earning self employed people can't even sell their school-run SUV's to help fund things.

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[Hibs4185]

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HIBS4185

Sorry to hear about your business.

The governments loan scheme for businesses is vague but here is some clarity regarding it as things stand today. A bank will look favourably on a business loan which is good news but the downside is that you will have to give personal guarantees. The bank would look to recover the liability from you before going to goverment, so it’s really not much help to most businesses. This is part of the reason why the markets didn’t bounce back when announced. It was hoped that we would be in a V, which means straight down and straight back up economically. It’s either going to be a U or an L and hope that makes sense.

In regard to employee subsidy, you can have 80% of their earnings covered to the £2500k. But for the sake of clarity the individuals you employ can not do “ any “ work for you or for any other company. Failure to do this is benefit fraud and many companies and people are not realising this and Self employed do not get any top up either at this stage.

i have been campaigning on IR35 and am currently campaigning for goverment to change the policy around business loans and employee assistance.

Good Luck and if I can help drop me a mail.

Global Hibby thanks for your reply. I am trying to secure a premises just now without even viewing it. I just hope they don’t put a condition in, that states you need to have been a tenant for 3 months etc. As far as I can see there is no T&C’s at the moment. That £10k grant would really sort us out.

One of our guys chose to go down the self employed route so is sub contracted to us but I’m going to see if we can change him to PAYE for the new few months so we can continue to pay him and reclaim the 80%.

Again it’s dependent on the terms and conditions which don’t seem to be available.

It’s hard to get black and white advice though. Would be good to hear your thoughts on my plans

[bigwheel]

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Global Hibby thanks for your reply. I am trying to secure a premises just now without even viewing it. I just hope they don’t put a condition in, that states you need to have been a tenant for 3 months etc. As far as I can see there is no T&C’s at the moment. That £10k grant would really sort us out.

One of our guys chose to go down the self employed route so is sub contracted to us but I’m going to see if we can change him to PAYE for the new few months so we can continue to pay him and reclaim the 80%.

Again it’s dependent on the terms and conditions which don’t seem to be available.

It’s hard to get black and white advice though. Would be good to hear your thoughts on my plans

Do you really want to take on increased fixed overhead costs into your business at this time ??

[Billy Whizz]

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Do you really want to take on increased fixed overhead costs into your business at this time ??

You never know, he may be a toilet roll and sanitiser salesman😄

[H18 SFR]

Coming onto threads like this and reading about Hibees trying to help out Hibees really makes me feel good during what are terrible times for many employees/self-employed workers.

As a teacher with a guaranteed salary and a wife who is a Health Visitor in similar circumstances we realise how lucky we are, we feel helpless other than being able to buy stuff from local businesses.

We want a new bathroom so tried to contact a local small plumbing business in Ayr to see if they wanted some work just now but they've closed today as per UK Gov guidelines last night I've just been informed. We will put the work their way when they open.

[Thief]

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It will be means tested though. So if you have any savings or if there are any other earners in your house you will get nothing.

I wasn’t aware of that. Not the best at reading these type of documents with the full on legal lingo but I have read it through again and can’t see any reference to means tested.

Have you read that elsewhere?


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[Fergos]

I left my full time job at the end of Feb to set up as self employed, spent the initial part of March setting up domains, logos, nailing down set up costs and financials. The sector I was going into has subsequently collapsed with the situation we find ourselves in.

Fortunate and thankful to have a little bit of savings to tide things over, not infinite unfortunately. The timing could not have been worse. A lot of folk are worse of than me however so it’s about appreciating what you have and trying to help others where you can.

Wishing my fellow Hibees and all folk good health.

GGTTH

[green day]

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It will be means tested though. So if you have any savings or if there are any other earners in your house you will get nothing.

Makes no sense that the Self Employed help would be means tested and the Employed wont.

Firstly, that additional bureaucracy would add untold weeks to prove and hence defeat the tactical objective - which is to take Self Employed people away from work and get them to stay at home.

Secondly, the govt knows that Self Emp people wont forget if they are shafted - i.e. expected to shell out their future taxes when they were not helped at this time - that situation would simply lead to more tax fraud / black economy / cash jobs than happen at the moment.

[Col2]

Daft question but would someone who is self employed, has limited company but is a director with no employees and provides consultancy to clients be covered in this new development? In this scenario the official business address is home as can work from this base effectively but also works on client sites.

Or put it simply...an IT Contractor who is self employed.

[Hibs4185]

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Do you really want to take on increased fixed overhead costs into your business at this time ??

Yeah because our self employed staff member can get a wage. Costs us more but I want to make sure he can support his family.

Also we are going to need a unit or office space in the future anyway so if we can get it now, we will qualify for the £10k grant which will pay the first years rent and give us some spare cash after.

If we couldn’t get the £10k grant, I wouldn’t think of taking on extra costs at this time.

It is amazing fellow Hibees helping out. There is more info on here than the Scottish government website. GGTTH

[Global Hibby]

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Global Hibby thanks for your reply. I am trying to secure a premises just now without even viewing it. I just hope they don’t put a condition in, that states you need to have been a tenant for 3 months etc. As far as I can see there is no T&C’s at the moment. That £10k grant would really sort us out.

One of our guys chose to go down the self employed route so is sub contracted to us but I’m going to see if we can change him to PAYE for the new few months so we can continue to pay him and reclaim the 80%.

Again it’s dependent on the terms and conditions which don’t seem to be available.

It’s hard to get black and white advice though. Would be good to hear your thoughts on my plans

I don’t think the premises is really a good idea right now as what the goverment are doing at the moment is linked into history. I think the risk is greater than the gain re property unless you absolutely need it of course. Your good hearted intention to put your self employed contractor on payroll is also good one. Again right now the goverment are looking at the history as PAYE and you won’t have this for the person.

I really wish I could have said differently.

The other option is to apply to the bank for the loan. You could ask them to spread it over a very long period in time and the interest rates are very low. As an example to borrow £1m only costs around £20k in interest. So a loan of say £20k is not going to cost a lot in interest. The other option is if you have a mortgage which is capital and interest repayment and you have equity in the home you could switch to interest only with the likes of first direct and that would save you money. Hope that makes sense ?

sorry for any typos as multi tasking on calls but wanted to give you quick feedback

[Global Hibby]

I will answer some of the questions being raised later but if you are self employed via a LTD company and taking earnings via PAYE and dividend ...yes you should be able to claim 😊

[bigwheel]

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Yeah because our self employed staff member can get a wage. Costs us more but I want to make sure he can support his family.

Also we are going to need a unit or office space in the future anyway so if we can get it now, we will qualify for the £10k grant which will pay the first years rent and give us some spare cash after.

If we couldn’t get the £10k grant, I wouldn’t think of taking on extra costs at this time.

It is amazing fellow Hibees helping out. There is more info on here than the Scottish government website. GGTTH

Not sure how the premises relates to your self employed staff member ..but not for me to concern
Myself with :)


Cashflow is king for small businesses just now and I wondered if you really wanted to commit yourself to regular expenditure at the moment ..anyway, don’t know your business - delighted to hear it has started well. All the best

[CropleyWasGod]

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Daft question but would someone who is self employed, has limited company but is a director with no employees and provides consultancy to clients be covered in this new development? In this scenario the official business address is home as can work from this base effectively but also works on client sites.

Or put it simply...an IT Contractor who is self employed.

I'm guessing that, like most IT contractors, you pay yourself a minimal salary, and top up your income by way of dividends.

If that's the case, you would be able to claim 80% of your salary, about £575 per month, but only if you furlough yourself, ie don't work.

The wider issue is the income of your company. Once the question of the self-employed sole trader has been sorted, that is the next area for the Government to deal with.

[HoboHarry]

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I'm guessing that, like most IT contractors, you pay yourself a minimal salary, and top up your income by way of dividends.

If that's the case, you would be able to claim 80% of your salary, about £575 per month, but only if you furlough yourself, ie don't work.

The wider issue is the income of your company. Once the question of the self-employed sole trader has been sorted, that is the next area for the Government to deal with.

Seriously mate - glad to see you back on here. Stay well during these strange times.......

[CropleyWasGod]

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Seriously mate - glad to see you back on here. Stay well during these strange times.......

Back on here? Stay well?



Um... thanks

[HoboHarry]

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Back on here? Stay well?



Um... thanks

Haven't seen a post from you in ages - regardless, glad to see you posting.....

[CropleyWasGod]

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Haven't seen a post from you in ages - regardless, glad to see you posting.....

I meant "how can I stay well if I'm back on here?"

[HoboHarry]

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I meant "how can I stay well if I'm back on here?"

Oh my bad, here was me thinking that whoosh sound I heard was a bird too.....

[Moulin Yarns]

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Back on here? Stay well?



Um... thanks

I assume that you are back because there may well be the demise of a football club or two 😉