How we restructured a West Norwood Caribbean takeaway for £6,900 saving
Client K runs a Caribbean takeaway and catering business on Norwood Road trading as a sole trader, with profits around £64,000. He was paying higher-rate income tax plus Class 4 NIC, with no structure for his partner who managed the books and front of house, and the wrong VAT approach for the mix of hot takeaway and catering.
We incorporated the business into a Ltd company, set Client K's salary at the NIC-optimal level with the balance as dividends, brought his partner onto proper PAYE at market rate and as a minority shareholder reflecting her genuine role, reviewed the VAT (hot takeaway and catering standard-rated, cold food zero-rated), and set up the bookkeeping properly.