# Self employment



## ymg (Dec 19, 2009)

How long does it take to arrange things to be self employed? It is days, weeks, months?
What do you need? Veronica told me that you need to have a social insurance number and need to register for TAX, perhaps VAT. What else do you need? Paperwork, numbers, etc.
Do you have to register the company (self employed) with a Chamber of Commerce or at the Registration Authoroties (Registrar)?
Which costs are involved? 
Where can I find information about the kind of legal bodies that exist in Cyprus and their responsibilities? Because the legal bodies differ from the ones we have in Holland. Cyprus is using the common law system I assume. Any help will be highly appreciated.


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## Veronica (Apr 5, 2008)

ymg said:


> How long does it take to arrange things to be self employed? It is days, weeks, months?
> What do you need? Veronica told me that you need to have a social insurance number and need to register for TAX, perhaps VAT. What else do you need? Paperwork, numbers, etc.
> Do you have to register the company (self employed) with a Chamber of Commerce or at the Registration Authoroties (Registrar)?
> Which costs are involved?
> Where can I find information about the kind of legal bodies that exist in Cyprus and their responsibilities? Because the legal bodies differ from the ones we have in Holland. Cyprus is using the common law system I assume. Any help will be highly appreciated.


Hi Yvonne,
I though Alex' company would be paying you and that the company is already registered here ready you when you come?
Are you going to be working for him on a self employed basis?


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## ymg (Dec 19, 2009)

Hi Veronica,

The company of Alex is already registrated and ready for action.
I will get my salary from the company.
But I'm also involved in some other activities and I would like to set up my own company too. Perhaps a Limited, but I think it will be better to start with being self employed too.
As I do not know the system, i do not know yet if this will be possible. 
That means that i will work for my boss and receive a salary and i will work for myself. I will have 2 incomes then.
Hopefully you understand it better now 




Veronica said:


> Hi Yvonne,
> I though Alex' company would be paying you and that the company is already registered here ready you when you come?
> Are you going to be working for him on a self employed basis?


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## Veronica (Apr 5, 2008)

ymg said:


> Hi Veronica,
> 
> The company of Alex is already registrated and ready for action.
> I will get my salary from the company.
> ...


Ok now I understand and knowing what you want to do I would say definitely do not go with a Ltd company at first. Just go self employed.
That is easy and quick, no need to wait. Just keep good accounts and before the end of the first year find a good accountant. I assume that Alex' company will be paying social insurance for its staff so you wont need to worry about that.
As long as you declare your earnings at the end of the year for Tax purposes you will be fine.


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## Toxan (Dec 29, 2010)

Declare your taxes, stay clean, as there are many legal ways to avoid taxes, and you can sleep at night. The Government needs money, so they are clamping down.


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## ymg (Dec 19, 2009)

Thank you all for the information.
Lets say that after 1 year of self employment, will it be difficult and expensive to change the self employment into a Ltd?
What are the benefits and disadvantages of being self employed and what are the benefits and disadvantages of an Ltd?
Does it depends on the earnings/income?





Toxan said:


> Declare your taxes, stay clean, as there are many legal ways to avoid taxes, and you can sleep at night. The Government needs money, so they are clamping down.


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## Veronica (Apr 5, 2008)

ymg said:


> Thank you all for the information.
> Lets say that after 1 year of self employment, will it be difficult and expensive to change the self employment into a Ltd?
> What are the benefits and disadvantages of being self employed and what are the benefits and disadvantages of an Ltd?
> Does it depends on the earnings/income?


Yvonne the sort of work you will be doing I dont think that becoming a ltd company will be of any benefit to you. The only real benefit of being a ltd company is that if you go bankrupt owing a lot of money to people such as suppliers etc your personal assets are protected. In other words if you had a business such as shop and you owed your suppliers money but went bankrupt and you owned a property, that property would then be protected if it is your name and not the businesses name.
Please beleive me Yvonne you do not need to be a Ltd company for what you are going to do.


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## ymg (Dec 19, 2009)

I believe you Veronica. I very much trust your opinion. I'm not asking this only for myself. I'm asking this for somebody else too  Maybe it was a bit confusing in a way. 
For myself I'm thinking of self employment, there is no doubt about that at all  Or the Cypriot accountant must inform me otherwise.
The other person (Alex) will start a self employment too, because he has other businesses too which are not related to dredging work at all. Later on he will change it into a Ltd. (that is how he sees it now)
Anyway I highly appreciate your opinion! Let's see how long it will take to get to Cyprus. It took quite some time already. I cannot wait to be there and get everything organised and settle in the lovely villa, swim in the pool, walk with the dog, enjoy the lovely meals and play some dominos with you and your hubby 
Love to all!




Veronica said:


> Yvonne the sort of work you will be doing I dont think that becoming a ltd company will be of any benefit to you. The only real benefit of being a ltd company is that if you go bankrupt owing a lot of money to people such as suppliers etc your personal assets are protected. In other words if you had a business such as shop and you owed your suppliers money but went bankrupt and you owned a property, that property would then be protected if it is your name and not the businesses name.
> Please beleive me Yvonne you do not need to be a Ltd company for what you are going to do.


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## Toxan (Dec 29, 2010)

Well at least you are doing your homework. purchasing property through a company has tax advantages too if you are going down that path.


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