Running your own personal service company involves a large amount of administration and so it is vital that you engage the services of an accountant who can see you safely over all obstacles. Almost all of our clients report that, when on assignment, they are under great pressure to give their client the maximum amount of time and effort and so it becomes more appropriate to let an accountant handle the company affairs so that you do not have to spend weekends and other leisure time dealing with paperwork.

Here are some of the questions that you might ask yourself before deciding which is the most suitable partner for your company.

Competex Ltd

Needless to say, Competex offers all of the above and much more. That is why Competex is the choice of so many interim managers and management consultants and that is why they are recommended by leading interim providers and the Interim Management Association.

High Street Accountants

Are not necessarily best placed to look after interim managers. Very few are able to offer a suitably comprehensive package (for example one that includes variable monthly salaries under IR35, and P11Ds within the Inland Revenue deadline). Those that can are generally large practices with correspondingly high fees. Most will require that the company books are removed to their offices and they will effectively carry out an audit which is unnecessary.

Umbrella/Composite Companies

These companies are typically set up to handle the affairs of interim managers and management consultants. They place themselves between a provider and the interim, and also receive the fees direct from the client and, by doing so, seek to offer protection against IR35.

However, the Inland Revenue warns that umbrella and composite companies, where unrelated individuals are brought together and each receives a separate class of shares, will not escape the IR35 legislation. Typically, under these schemes the interim manager receives a salary just above the national minimum rate and takes the rest of earnings as dividend to avoid paying National Insurance.

In answer to the question "Does the legislation apply to people working for 'composite' or 'umbrella' companies?" the Inland Revenue leaves no doubt at all in its unequivocal reply 'Yes'. See the Frequently Asked Questions at: www.inlandrevenue.gov.uk/ir35/faq_qanda/general_q6.htm