3 simple things every company director should remember
Running a limited company can sometimes feel like you and the company are the same person — especially if you’re the only director.
So let’s use John and John Limited to keep things simple.
1. The company is separate from you
John is an individual.
John Limited is a separate legal entity.
Even if John owns the company, money in the company belongs to John Limited — not automatically to John personally.
If John takes money out, it needs to be treated correctly, for example as salary, dividend, expenses or through the director’s loan account.
💡 Think of it this way:
John Limited’s bank account is NOT John’s personal wallet — even if John knows the PIN! 😄
2. Be prompt with your accountant
Imagine John Limited pays £427.63 to “ABC Services”.
John knows exactly what it was for.
His accountant? Not a clue — and unfortunately, no crystal ball either! 🔮
When your accountant asks for receipts, invoices or explanations for expenses, try to provide them promptly and on an ongoing basis.
A two-minute answer today can save a lot of head-scratching nine months later!
3. Know your key deadlines
John is busy running John Limited.
Customers, suppliers, invoices, emails… there’s always something to do.
So accounts, Companies House and Corporation Tax deadlines can easily sneak up.
📅 A simple calendar reminder can save last-minute stress — and potentially penalties too.
Key takeaway
• John ≠ John Limited
• Keep your supporting documents ready when asked
• Don’t let deadlines come as a surprise
💬 Thinking of becoming a director?
If you’re already a company director, or you’re planning to register a company, why not talk to us?
Satya Accountants are here to help you through the process — from setting up your company to helping you understand your ongoing responsibilities.
🎉 Your first consultation is FREE.
🌐 Book a meeting through our website:www.satya.accountants
Next week in Director’s Corner:
👉 Taking money out of your company — what directors need to know.
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