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Independent Financial Advisors
As a Primis client, you are entitled to free financial advice from Haven Global Strategies who are a team of Independent financial advisors.
Who are Haven IFA?
Haven are an independent firm who we have a close working relationship with to enable all Primis clients to have access to the benefits a contracting business can provide to its directors and employees. As a Director of a limited company, organising investments, savings or mortgages can be more challenging. Haven specialise in this field to make the process much simpler and more accessible.
You will be provided with a dedicated personal independent financial advisor from the start. They will be able to carry out a full personal heath check that will highlight any areas that a wealth management or protection strategy could benefit you, your family or the limited company. There are three main services that the financial advice will cover which are protection, wealth management and mortgages.
Protection
As a director of your own limited company, you and any employees might be worried about financial security, especially if you are leaving a role where benefits might have been included. There are different insurance covers available that will help give peace of mind:
Life insurance
Income protection insurance
Income protection cover will pay out to an individual in the event of injury or illness that prevents them from being able to work. This will usually be on a continued basis until retirement, death or your return to work.
Critical illness cover
Critical illness provides insurance should the individual covered be diagnosed or undergo a medical procedure for a specified critical illness and unable to work. This will usually be payable as one-off, tax free lump sum.
Provides cover in the event of a critical accident, illness or death. It is usually designed to pay a lump sum benefit payable to the employee’s family during the life of the policy if one of these events occur. When operating through a limited company, life insurance which sometimes referred to as ‘Relevant Life’ can be processed tax efficiently through the business and attract tax relief.
Wealth Management
As a director of a contracting business, there are a variety of investment option and tax efficient savings that can be made use of individually or for the business itself.
Examples of some areas that are covered under this section are:
Pensions
As a director of your own limited company, you will be responsible for arranging your own pensions as opposed to having this managed by an employer. You will be able to review you past pension arrangements and if these are suitable or need adjustments as well as options to invest using your company going forward. Pensions are a great tax-efficient saving option for limited company directors as pension payments can be made from the company profits and therefore attracting tax relief.
ISAs
Investments
When trading through a limited company, surplus profits may be retained that can be utilised as an investment. As part of the review a profile will be made on you that incorporates your risk appetite as well as other relevant circumstances and your ultimate goals, so that advice can be proved on the most suitable options for this. Investments can also be made on a personal basis with any surplus savings, however the type of investments appropriate will differ due to the personal nature so it is vital to discuss all the details before decisions are made.
Individual Savings Accounts (ISAs) allow a tax-free structure for investments and savings. These can be cash, investment funds or stocks and shares so it is important that this is discussed with a professional and how this can be managed. There is limit on how much can be paid in each tax year.
Mortgages
Limited company contractors can face potential difficulties when looking to get approved for a mortgage due to some lenders asking for proof of income that hard to provide when taking a salary and dividend combination.
Alternatively some lenders may request multiple years of company accounts to evidence this which can pose a problem if the company is relatively new.
Haven as a specialist in contractor advice and how they operate will be able to assist in finding the right mortgage and lender that understands your circumstances.
