Limited company insurance

[Morsing]

Hi,
I am looking into forming a limited company for contract and consultancy work (AIX/Unix work). I have two questions:

1) A small american company has a name very close to the one I want (I'm in the UK). Is that a problem??

2) What about insurance?? I suppose it's not important when doing contract work because I'm an empoyee but what about consultancy??
What if I screw up?? How do I get insurance, do I need it, and how expencive is it??

Thanks & Cheers Henrik Morsing
Certified AIX 4.3 Systems Administration
& p690 Technical Support

 

[LesleyW]

I am sure that usually when you are doing contract work you are NOT an employee. You probably need public liability insurance, I am sure that contractors I have worked with have had that in the past.

 

[pmrankine]

With regards the company name, check:

http://www.companies-house.gov.uk

for availability.
I registered a company with the following company. They can give you advice about the American company:
Scott's Company Formations
5 Logie Mill Beaverbank Office Park
Logie Green Road Edinburgh EH7 4HH
Tel: 0131 556 5800 Fax: 0131 558 1112
Email: scotts@millar-bryce.com


Regards,
pmrankine

 

[Kjonnnn]

Yea... you're not an employee doing contract work.

I think the insurance type u need to look into is "errors and ommissions" insurance.

 

[Morsing]

Ok, just spoke to a friend who has done this. If you're being contacted through an agency then the agency will insure you. No problem.
If you independently talk to the company hirering you, yuo'll need insurance but it's cheap, around £10 a year. No problem. I don't think there will be a problem with the american company either but the companies house can't tell me that, only time.

Don't know if I want to do this though, there are lots of complications and it can be difficult to find permanent work later.

Cheers Henrik Morsing
Certified AIX 4.3 Systems Administration
& p690 Technical Support

 

[pmrankine]

Morsing,
Yeah, Companies House will tell you if there are any other UK companies that have registered your intended name (always best to check), the formations company should be able to confirm if the American company will cause any problems - I'd guess that it wouldn't unless you were trading in the US or them in the UK. If you are unsure about the work you may/may not get afterwards - have you done any research with recruitment agencies? They should be able to give you stats on the number of jobs in your field.

Best of luck,
pmrankine