I found this great video:?http://www.businesszone.co.uk/topic/finances/funding-no-substitute-duff-business-modelvideo/56687. ?The headline is actually a little misleading because, given the remainder of the content, it could be subtitled: “How to Give your Business the Wow! Factor”, or “Could your Business Function without You?” ?Either way, it is inspirational and an example of how, with even a small initial investment, if you have the drive and organisation, you can build up a profitable business.
Archives for December 2014
A personal liability notice (“PLN”) ?issued by HM Revenue and Customs seeks to make a director personally liable for the company’s unpaid PAYE and National Insurance debts; however they may only issue a PLN if it appears to them that the failure of the company to pay its tax liabilities is “attributable to fraud or neglect on the part of one or more individuals who, at the time of the fraud or neglect, were officers” of the company.
Directors may appeal a PLN on the basis that:
- the sum claimed in the PLN is not covered by a relevant provision (see below)
- the failure to pay the tax liability was not attributable to any fraud or neglect on the part of the director in question
- the director was not an officer of the company at the time of the alleged fraud or neglect, or
- the opinion formed by HMRC when deciding to issue the PLN was unreasonable.
The power to issue PLNs has been available to HMRC since 1992 and has not been used very often but I understand that they are now being used more widely than before. Accordingly, directors who are accused of acting fraudulently or negligently by a liquidator, an administrator or creditors generally should be aware of their possible liability to HMRC, as well as any liability they may have to the company itself (or its liquidator or administrator) . . .”
A Finance and Tax Tribunal decision in 2010,?Re Leslie Livingstone,?sets out the parameters fairly clearly; and it would appear that to make a PLN enforceable, there has to be a reasonably clear intention on the part of the directors to withhold payments from HMRC, while at the same time paying other creditors or the directors themselves.
In the Livingstone case, Mr Livingstone was a practising chartered accountant and sole director of the company. When the company ceased trading and sold its business the proceeds were used to repay the bank overdraft, which he had personally guaranteed, and was supported by charges given by the shareholders; and to pay (amongst others) ?16,000 to himself and a company he also operated. No payment was made to HMRC on account of the PAYE arrears of over ?60,000 of which he was well aware. The Tribunal confirmed the PLN issued by HMRC.
It is potentially a very risky strategy to withhold payment from HMRC as a convenient way of easing cash flow problems. It is even more risky to take money out of your company while deliberately leaving overdue PAYE unpaid!?
The above is an excerpt from a thread on UK Business Forums: for the full thread, follow this link.
The Fastest Way to Success in 2014
This year has already started with a number of positive statistics about the economy and many of the business people I talk to are all echoing these positive feelings. There is no great secret to creating success, many people have already achieved it and many more will.
Please make sure that you are one of those.
The formula for your success this year is – ?Learnings x Thoughts x Actions = Results? !
Before I break the formula down the most important thing to remember is that in any mathematical equation anything multiplied by zero equals zero. Therefore if any part of the formula above is zero your results will be the same.
Learnings – As we go through life, we pick up many lessons; some from people who inspire us, some from courses we attend, others from books we read and audios we listen to.
Thoughts – How we take these learning’s, create the understanding, then plan to how they will work for you.
Actions – The activities you need to take to implement these learnings into your life and business. This is probably the most important area of the equation and often the one which is least carried through.
Your results will grow and your life will improve by leaps and bounds if everyday you increase the value of each part of your equation.